When is it efficient to treat juvenile offenders more leniently than adult offenders?

This paper provides a rationale for two characteristics of juvenile justice systems. First, juvenile justice systems tend to be more lenient in terms of both incarceration rates and time incarcerated. Second, higher expenditures are made to incarcerate a juvenile offender than an adult prisoner. It does this by examining the effect juvenile incarceration has on human capital acquisition and in turn, later incentives to commit crime as adults. In the process, it also offers an explanation of the empirical finding that individuals arrested as juveniles are more likely to be arrested as adults.