I believe there to be some merit to the notion that it is better for society if many of the generational cycles which lead to crime are broken. Sometimes that involves off-ramps from the road to incarceration.

That said, the policy can be, and certainly is, applied in imbalanced ways when justice is pursued over pragmatism.

I'm sure at some point it's cheaper to pay people to do nothing and have laws enforced, rather than indirectly paying people to do crime by letting stuff get stolen without consequences. Politically it sounds insane, but it would make for a more trusting society.