Chart on Attorney Advertising and Bankruptcy:

I have a very busy day, so I don't have time for another long post on bankruptcy reform (I'll get back to it tomorrow I hope if I have time), so I'll just leave you with a self-explanatory chart on trends on attorney advertising and bankruptcy filings that is contained in my latest article:

Numerous caveats apply--this is just tv, it is all advertising and not just for bankruptcy, etc. So I'll just let you make of this what you wish and leave it at that.


2 points. First, I made no claim about causation in my original posting--there could be no causal link at all here and if there is correlation, it could be spurious. If there is a causal link, it could run in either direction (e.g., public demand for bankruptcy lawyers could lead to more advertising). Second, there is a very well established empirical literature that advertising for legal services increases demand for legal services, so that the relationship is theoretically possible, unlike, for instance, other random correlations that some have drummed up. I thought the underlying model was obvious, but apparently some who criticized me weren't aware of this vast body of academic literature. And, of course, there is other empirical evidence that finds some sort of relationship between lawyer advertising and bankruptcy filings, although again, existence and direction of causation remain open. Whether this particular chart provides any additional empirical evidence or intuition to support the theory, as I said once already, I leave to you. But that doesn't mean the theory doesn't make any sense.