The Daily Grind Video

How Companies Make Money Off Of Prisons and Jails

Yes you read the title correctly! Financiers, small business owners, real-estate agents and car salesmen might be suffering from America’s economic downfall, but bulging prisons and jails have triggered a profit boom for corrections companies like the GEO Group and Corrections Corporation of America (CCA).


















The United States leads the world in the number of people it incarcerates. As of January 2010, there were 1,404,053 people under the jurisdiction of state prison authorities, 4,777 fewer than on December 31, 2008. This marks the first year to year drop in the nation’s state prison population since 1972. While the study showed an overall decline, it revealed great variation among jurisdictions. The prison population declined in 26 states, while increasing in 24 states and in the federal system.
Harsher sentencing policies have put more people behind bars and prison management firms such as the Corrections Corporation of America (CCA) and The GEO Group are racing to build new prisons and jails or expand existing ones to house more convicted felons.
States are struggling with overcrowded prisons and jails, with no meaningful supply of beds available, they are finding that private correction companies, such as CCA, can deliver beds much faster and less expensively than they can develop themselves. CCA’s and GEO Group’s profits are growing none stop. George Zoley cheerfully stated in 2007 ”that his company had a bonanza year” and predicted that “2008 would be an even better year” as more prisons an jails were filled.

What kind of statement is that? I have read about private prisons taking over state prisons and personally if you ask me this is a scary thing.

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