If this institution is totally honest, and extremely accurate in making predictions, so that obeying the laws it enforces is like one-boxing in Newcomb's problem, and somehow an institution with this predictive power has no better option than imprisonment, then yes I would be OK with it.
Please see the edit I just added to the post; it seems like my wording wasn't precise enough. I had in mind statistical treatment of large groups, not prediction of behavior on an individual basis (which I assume is the point of your analogy with Newcomb's problem).
I would also be ok with this... however by your own definition it would never happen in practice, except for extreme cases like cults or a rage virus that only infects redheads.
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Enough to justify imprisoning everyone. It depends on how long they'd stay in jail, the magnitude of the crime, etc.
I really don't care what Ben Franklin thinks.
Sorry, not arguing from authority, the quote is a declaration of my values (or maybe just a heuristic :-), I just wanted to attribute it accurately.
My problem may just be lack of imagination. How could this work in reality? If we are talking about groups that are statistically more likely to commit crimes, we already have those. How is what is proposed above different from imprisoning these groups? Is it just a matter of doing a cost-benefit analysis?