Healthcare Stock: Are They Truly Recession-Proof?
Healthcare Stocks…Are They Truly Recession-Proof? This past weekend, I was up at my hunting and fishing club in northeast Pennsylvania enjoying some ice fishing. At our club at least, it’s a pleasant social activity with great food, wine and stories shared among the members and spouses.This year, it happened to fall on the coldest day of the winter, with the temperature dipping to 18 below. As you might expect this close to the inauguration, many folks are wondering what effect President Obama’s policies will have on the markets and investing. One of our members who’s a doctor, said: “Invest in healthcare stocks. It doesn’t matter who’s in the Whitehouse, and they’re recession-proof.” Are they? The answer depends on what area of healthcare you’re talking about. According to Health Affairs, an industry journal, national healthcare spending hit $2.2 trillion in 2007, or just under $7,500 for every man, woman and child in the U.S. This represents a growth rate of 6.1%, the slowest rate of
