“A new study by Roger Koppl and Meghan Sacks shows that a number of states pay their crime labs by the conviction. Furthermore, legislators in many states require convicted people to pay for the lab testing that helped convict them. In economics, this is known as ‘moral hazard,’ in which incentives exist that encourage the very outcomes that people supposedly wish to avoid. Calling this situation ‘moral hazard,’ of course, is built on the assumption that government authorities really wish to avoid wrongful convictions and that police and prosecutors only want guilty people convicted.”
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