My prisoners make 1,000 school desks
Government is in the business of making desks. You're okay with this.
I outsource my prisoners labor for a bunch of money and get 1001 desk worth of money. I go purchase 1001 desks. Government is not in the business of making desks. You're not okay with this.
I'm asking you to unpack the specifics of why that is.
some would say that because currency is fungible youre simply moving that prisoner labor into a vessel and then using that purchasing power to transfer that labor into public needs more efficiently.
You disagree. It seems the middleman is the Crux and I'm just simply asking you to spell it out for me on where that line in the sand comes from.
I'm still struggling to understand your meaning here. Prisons do not purchase desks with profits they make from prisoner labor for companies like McDonald's, Victoria's Secret, and Whole Foods. Those proceeds go back into local Departments of Corrections or in the case of private prisons, they go directly to the corporation that owns them for shareholder benefits. The companies' interest is cutting their cost of labor below even what they would normally pay for outsourced labor overseas. There isn't some budgetary shortfall being made up for by the profits of this labor elsewhere in the state because state budgets are siloed and subject to allocations that can't be dependent on market conditions. My contention originally was that prison labor for direct public good was at least of general utility to the society which made some of the labor at least understandable, but of course you know I ultimately believe workers should own their means of production and so no one should commit any of their labor on behalf of any enterprise.
If I'm now understanding your question more clearly, which I might still not be, then you're saying there is a unified pot where the money ends up, but in modern state budgeting, and especially in the prison system, which relies on a host of private subcontractors, the idea of fungibility itself is not quite applicable. Usually it's an economic theory that's only invoked when people are justifying austerity measures or playing budget games.