Hospital Corporation of American (HCA)

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Why Healthcare Is A Boon For Private Equity

Kiran Raj Pandey | KevinMD.com | October 25, 2012

Here’s why: first, there is no real linkage between demand and supply with healthcare. In ordinary market economics, demand and supply tend to have an inverse relationship  with each other. Not so with health care; since nobody can really predict the need for a certain health service. And when you do need it, there isn’t really the time to shop around. So the demand and supply can’t really be moderated based on each other.

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