“…Our paper contributes to a literature on judicial decision making, and in particular the "extralegal considerations" of judges (Posner 2008, p8-11). Amongst these are the fiscal costs of incarceration (Ouss, 2018), prisons' capacity constraints (Mueller-Smith andSchnepel, 2019), defendants' race (Steffensmeier and Demuth, 2000;Abrams, Bertrand, and Mullainathan, 2012;Park, 2014), media scrutiny (Lim, Silveira, and Snyder, 2016), judges' own characteristics like gender, ethnicity and party affiliation Lim, Snyder, and Str ömberg, 2015), their re-election concerns (Huber and Gordon, 2004;Berdej ó and Yuchtman, 2013;Abrams et al, 2019), and even their emotions on the day (Eren and Mocan, 2018). We show that the presence of private prisons needs be added to the list of extra-legal considerations, and that their impact is most likely explained by judges' considering the fiscal costs of incarceration.…”