Any tips on the effects of fictional politics?

I've got an island nation(post reveal) in a post-world war story, mainly ruled by a religious group that makes the government a very extreme libertarian one. The leader hates the idea of prisons, so there are only really three ways to deal with criminals.

1.Death. 2.Exile to any country that will take them. 3.Forced to pay for the damage done by their crimes.

I'm trying to work on how exactly the populous reacts to these options politically, and how it would influence culture. So I was hoping you guys could take a look.

It's fantasy, so the "actual/realistic" thing is more for guidance than straight translation.

Well, youth likes to rebel against the traditions of it's parents, so I can imagine some type of socialist movement rising up to overthrow the system. It might be a generational thing, most oldsters saying "kick his butt out" while some of the younger set agitating for the establishment of prisons as a "humane, liberating institution".

There would likely be more crime, simply because the criminals know that if they don't commit something more serious than item robbery, they'll probably get away with it. A group might sprout up, looking for stronger leadership.

Another thing: You mention that the island is a theocracy. This is almost always unpopular, since religion is so intensely personal. There will always be a group that says there should be more freedom in religious beliefs. Keep that in mind, as it could lead to an interesting subplot.

Yeah, theocracy is kind of a weird title for it, seeing as the planet just got through with a war with low-class lovecraftian horrors. And 2 in 5 people are veterans(see-badasses). It's kind of why this is so hard, the rules are different in fantasy.