What Has Research Indicated Concerning the Cost-Effectiveness of Private Prisons

question 49

Multiple Choice

What has research indicated concerning the cost-effectiveness of private prisons?

• A)Private prisons are less expensive than government-run prisons to operate.
• B)Private prisons as just as expensive as government-run prisons to operate.
• C)Private prisons are more expensive than government-run prisons to operate.
• D)Both private prisons and government-run prisons have seen decreases in their operation costs.

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Definitions:

Deflationary Gap

A situation where total spending (aggregate demand) in an economy is lower than the level required to sustain full employment output, leading to deflation and unemployment.

Equilibrium GDP

The level of Gross Domestic Product at which aggregate supply equals aggregate demand, leading to an economy operating at full capacity without inflationary pressures.

Full Employment GDP

The level of gross domestic product achieved when there is no cyclical unemployment in the economy, representing an ideal economic state where all willing and able workers find employment.

Economic Problem

When we have limited resources available to fulfill society’s relatively limitless wants.