AbstractThe Sentencing Reform Act of 1984, which created the U.S. Sentencing Commission, required that the commisson consider prison capacity in drafting sentencing guidelines. As part of the commission's efforts to meet this requirement, we developed a computer simulation capable of projecting the impact of the commission's guidelines on future sentences and prison populations. According to our projections, “straight” probation sentences will be reduced significantly under the guidelines. However, reducing the use of probation will generate only modest demands on the prisons, and then mostly for community corrections phased in over the course of 5 years. We also project that, while average time served for violent offenses will increase substantially, average time served for most property crimes will remain largely the same. Finally, while we forecast that federal prison populations will grow markedly by the end of this century, this is more a result of the Anti‐Drug Abuse Act of 1986 and the career offender provision of the Comprehensive Crime Control Act of 1984 than a result of the guide