completely agree with that and you’re right that is the single largest problem with investing in medical companies. Similar problem for the ivf providers vrt and Mvf. I should have said radiology practices ex doctor costs (but that isn’t reality in the corporate radiology space). But my point was that it isn’t the lack of indexation which has affected profits... the government has been right not to index imaging otherwise Medicare tax would be an extra percent I reckon.
I think the supply response of doctors. hasn’t kept up with increased demand for imaging. That will turn eventually, any guess when? and leading indicators to watch for?
CAJ, page-134
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