[caffeine5150]

I would qualify this. Note the recent implosion of the law firm Dewey Leboeuf. It grew very large through mergers and by luring lateral hires with multi-million dollar guarantees which it ultimately couldn't support. Many firms have become too bloated and have failed. More failures are expected. But you're right, the personal liability and ethical and other constraints on lawyers does induce risk aversion among law firms relative to bankers. However, the big catch is that the downside of lawyers and accountants being too conservative is not as acute as for investment banks where being too conservative has a very real and deep impact on markets, credit, liquidity, etc. So we (society, politicians, etc.) have tinkered with their regulations to try to improve markets, economy, etc. such as the repeal of Glass Steagall, etc. and we suffer the consequences.