Pros And Cons Of Privatization

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Opponents of privatization will commonly point to the “kids for cash” scandal as an example of why privatization is unethical. In 2009, two local judges enforced a hardline zero-tolerance policy that sent kids to juvie for such offenses like creating a fake MySpace page, swearing, and underage drinking. Judge Mark Ciavarella sentenced approximately 3,000 of these kids in exchange for a hefty finder’s fee paid by a for-profit juvenile detention center that would profit from these new inmates (Getlen). While this is an extreme example, it is still one worth noting, because it is no secret that these private firms rely on more inmates to turn a profit — they admit as much themselves in their investor reports. The CCA’s 2010 Annual Report reflects an awareness that business is threatened by changes in immigration and drug policy:
“The demand for our facilities and services could be adversely affected by the relaxation of enforcement efforts, leniency in conviction or parole standards and sentencing practices or through the decriminalization of certain activities that are currently proscribed by our criminal laws. For instance, any
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Probation companies offer to provide their services to local courts without the assistance of public revenue — all they ask for in return is that they are given the authority to collect fees from probationers and jail those who are unable to pay. This results in a system that basically functions as a modern day debtor’s prison where the poor are punished for being poor and people end up in jail for not being able to pay off traffic tickets. “The financial incentive of for-profit companies runs counter to the even and fair application of justice,” says Rep. Mark Takano (D-CA) on private probation. “And we have a duty to uphold equal justice for

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