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Nov 29th 2015!⃝In 1972 the American criminal justice system was perceived by many to be a revolving door system with rampant recidivism.
Upon release from prison many persons immediately re-offended and returned to prison. Three-strikes your out sentencing and mandatory minimum sentences were partially a reaction to offenders that did not seem to be concerned about returning to prison because they were often released again after a relatively short time.
Upon release they "Go Back Jack Do it Again".
This is only one possible interpretation. As with most Steely Dan lyrics some degree of obligatory ambiguity seems to always be present. Also one of the reasons their music is so interesting.