> (People in the military, prison and institutions are excluded from these figures.)
But if you're shocked at 1%, 2.9% are in jail or on probation or parole. They are mostly non-violent offenders. Laws are unequally applied toward African Americans at a ratio of about 10 to 1 (when accounting for incidences of the illegal behavior in each population) with African Americans receiving 60% longer sentences than whites for the same crime.
Prisoners are then put to work in industrial manufacturing for as little as 18c/hr and as much (ha) as $1.50/hr. The prison manufactures are guaranteed to win any government bid, regardless of whether their bid is higher than competitors.
Sorry for the tangent, pet peeve.
There are various biases that impact the validity and reliability and there are methods for accounting for those biases. Rates of criminal behavior in the population is a very active and mature area of research.
Another method is extrapolation from statistical trends in crime. For example, most violent crime occurs within race. So you can take victims of violent crime that were not solved and extrapolate fairly good estimates of the perpetrator's traits from the victim. Of course, you still have to account repeat offenders and other confounding factors.
Short answer is, there's not just one way.