Transcript Broken Promises

Broken Promises
The Economics of a Prison Town
Matilda Alexander
B. Commerce, B. Law (Hons), G. Dip. Leg Prac
Background to the Prison
4000 bed prison precinct
Largest prison in Australia
First “prison town”
Parallels can be drawn with American
prison policy of the 1990’s: the rural prison
boom.
Promises in America
“Prisons not only stabilize a local economy but
can in fact rejuvenate it. There are no seasonal
fluctuations, it is a non-polluting industry, and in
many circumstances it is virtually invisible…
You’ve got people that are working there and
spending their money there, so now these
communities are able to have a Little League
and all the kinds of activities that people want.”
California Department of Corrections, 1994.
Promises in Australia
Potential for substantial economic benefit;
Increased employment opportunities;
Development of new businesses;
Expansion of ancillary and associated industries;
Improvement and expansion of existing recreational,
educational and community services;
Crime rate would not increase;
Increased demand for housing;
Increased disposable income of local residents;
There is no data to prove that prisoners and their
families will continue to live in the area after they are
released;
Department of Corrective Services Queensland, 2006
Economic Analysis of Prison Towns
in America
“A review of the research suggests that earlier studies assumed or
projected economic development but that more recent work focus on
specific economic impacts. Researchers approach the problems
from both case study and data driven research designs. Both
techniques are producing similar conclusions. Prisons generally
appear to have a negligible, or perhaps negative, impact on
economic development in rural communities.”
Deborah
Tottle, PHD 2004
“In conclusion, the economic impacts of the prison development
boom on persistently poor rural places, and rural places in general,
appear to have been rather limited.” Professor Glasmeier and
Farrigan, Uni of Pennsylvania 2002.
“Increasing evidence suggests that by many measures prisons do
not produce economic growth for local economies and can, over the
long term, have detrimental effects on the social fabric and
environment of rural communities.”
Tracey Huling, Criminologist 2002
“Results of this analysis of prisons sitting in rural counties in New
York State since 1982 indicates that reliance upon a prison as a
means of economic development is short sighted and not providing
any long-term growth. Moreover, once a town hosts a prison and
becomes known as a ‘prison town,’ discussion of other means of
economic development is likely to evaporate. Potential host counties
need to be particularly wary of viewing a prison as the panacea for
their economic woes. Although the pitch may be enticing, the results
indicate that there is little substance behind these claims. There is a
high likelihood that these counties could be closing themselves off to
other options of sustainable development.” King, Mauer and Huling,
2003.
“Prisons are not very good economic development strategies
because they generate few linkages to the economy, failing to attract
significant numbers of associated industries.” Prof Thomas
Johnson, Uni of Missouri
Since the prison opening in 1991, overall Johnson County
unemployment rate has increased significantly…This is because the
prison industry does not produce the "multiplier effect" of spin-off
economic activity like agriculture, health care, light manufacturing
and other types of sustainable development.
Further Impact Analysis of Prison
Towns in America
The impact of prisons on housing can also cause economic hardships for
the poor and elderly in rural communities.
Prisoners themselves may also displace low-wage workers in struggling
rural areas.
The ‘hidden’ costs of doing prison business can be high for small
communities. Local court and police systems are often the first to feel the
impact.
Though boosters claim that prisons are “recession –proof”, in fact they are
subject to downturns in the economy and expected booms can change to
busts for small towns.
Prisons can also discourage other kinds of economic development.
The rural prison boom during the decade of the 1990s occurred at a time of
falling crime rates and experience shows that the federal and state
governments are reluctant to pull the plug on the many interests that now
lobby for and feed off prisons. Allowed to continue, this cycle will have
catastrophic consequences for the health and welfare of individuals, families
and communities in urban and rural areas.
Tracy Huling, Criminologist
Political changes in America
1.
2.
3.
4.
Move away from increased incarceration
rates for the following reasons:
Community safety;
Economics;
Social impact on local communities;
Public opinion.
EG: California, in 2000, the independent
Legislative Analyst's Office (LAO)
predicted that a proposition aiming to treat
rather than incarcerate low level drug
offenders would save California taxpayers
approximately $1.5 billion over five years
and prevent the need for a new prison
slated for construction, avoiding an
expenditure of approximately $500 million.
Conclusion
The economic impact of creating Australia’s first
prison town is largely unknown. However,
evidence can be drawn from the impact studies
where such ventures have been attempted
overseas, primarily in America. When compiling
these studies it can clearly be seen that the
promised pitches of politicians and bureaucrats
can not be relied upon and that the people of
Warwick should exercise caution before taking
the step down this path.
State INCorrections Network
CONTACT US
www.incorrections.org.au
Email:
[email protected]
Phone: 3844 5066
Fax: 3844 2788
Postal : PO Box 3407
South Brisbane
Queensland Australia 4101