Paul L. Caron

Tuesday, November 25, 2014

Legal Services Sector Shrank 2.9% in 2013

Matt Leichter, Commerce Dept.: Legal Services Sector Contracts (Again) in 2013:

Earlier this month the Commerce Department’s Bureau of Economic Analysis (BEA) updated its GDP by industry data. The chief finding for law-watchers is that in 2013 the legal services industry shrank by 2.9 percent. Ouch. The legal services industry includes all private law firms, and it employs about half of all lawyers. Meanwhile GDP grew by 2.2 percent, meaning that once again, the shriveling legal sector is being outdone by the rest of the economy.

Percent Change Real Value Added by Industry

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I'm not seeing where this data comes from. The only data I could find was about 2010, and it said that the GDP contribution from legal services was 2.6%. Just saying.

Posted by: Douglas | Nov 25, 2014 7:44:07 PM

But Ted Seto assured me that every JD will have a job in the law within two years!

Posted by: Morse Code for J | Nov 26, 2014 5:38:22 AM

So I actually dug through the excel spreadsheets on BEA's website. All the measures of data, saving the 2008-09 years, show growth. 2010 shows 2.6% GROWTH. It might be slow, but it's still growing. Websites like "lawschooltuitionbubble" might not be the best source of news regarding the legal sectors. Professor, do you ever think that there might be an ulterior motive there?

Posted by: Douglas | Nov 27, 2014 7:38:45 AM