Inmates get better than they deserve. I have personal experience working in a prison. Inmates are not extorted for drugs, that is not how prison works. Inmates will be extorted for their commissary, extra food from the kitchen, sex, getting their laundry done by other inmates etc...
That being said this only happens because if any real controls are attempted to be put on them all the civil liberties groups say the inmates are being subject to cruel and unusual punishment. Most everybody in the US has heard of Marcopa county jail and their warden. The reason why is he pushes the limits in his state to try to make prison less desirable so criminals may think twice before committing their next crime.
There are two ways to control human behavior, one is by positive reinforcement an the other is negative reinforcement. Typically a criminal knows the difference between right and wrong so positive reinforcement has failed which is what put them in jail. That leaves negative reinforcement as the only option that is left. Look at the recidivism rate of people that end up with prison terms of less than 5 years, it is pretty high. Then look at the rate for people who have a sentence that starts with a letter (life). Lifers who get lucky enough to get out don't go back, why, they realize that life behind bars is not that hard for a few years but the prospect of facing the rest of their life behind bars is unbearable. Negative reinforcement works and could work on short timers also if the prisons were given the ability to add controls. Giving them commissary, allowing visitors, access to tv...? What kind of punishment is that.
It is funny to see how many inmates show up for prison the first day and start given other inmates high fives from their county or group that they knew from the street.
Criminals hurt you and I, they are costing you money and putting you in harms way, unfortunatley treating them with kid gloves is never going to work.