According to the Australian legal profession and media, law schools are producing too many graduates relative to the number of vacancies within the profession. This claim, however, is hardly new. This paper identifies a number of junctions at which there has been concern about the overproduction of law graduates, showing that this discourse appears during periods of major economic stress. It also shows that until the most recent episode of concern, the perception that there are too many law graduates relative to employment opportunities has not been supported by empirical evidence. In the past, the increasing supply of law graduates has been met with increasing demand. However, the legal profession is now facing unprecedented market competition and restructure, and opportunities in the profession for new graduates have declined. This still does not mean that the law schools are producing too many graduates. The current cohort of graduates is likely to continue into a professional occupation, although not necessarily in private legal practice, and there is a lack of lawyers working in disadvantaged communities.