True, but the margins are still fantastic, despite the lower selling price of the goods due to lower quality.

It doesn't need to be quality.

https://apnews.com/article/prison-to-plate-inmate-labor-investigation-c6f0eb4747963283316e494eadf08c4e#:~:text=Almost%20all%20of%20the%20country's,hour%20if%20anything%20at%20all.

Outside jobs can be coveted because they typically pay more and some states deposit a small percentage earned into a savings account for prisoners’ eventual release.

Who takes the rest? The prison.

Look up what these jobs produce and how they are remunerated.