Private equity health-care monopolies are on a profitable killing spree

And you thought it was bad before.

It’s not just you. US healthcare, already a bureaucratic nightmare of buck-passing and price-gouging, has gotten far worse. Private equity firms have created regional health-care monopolies that don’t just rip patients off — they’re killing us.

Private equity is a scam. Fund managers raise gigantic sums by claiming to be able to “beat the market.” In reality, they do worse for their investors than a boring old index fund:

https://pluralistic.net/2020/02/25/pluralistic-your-daily-link-dose-25-feb-2020/#extraordinaryclaims

The fund managers don’t have to beat the market in order to make bank. They can take advantage of the “carried interest” loophole, which has nothing to do with interest rates — it’s a tax system that was invented for 16th century sea-captains (no, really):

https://pluralistic.net/2021/04/29/writers-must-be-paid/#carried-interest

PE dresses up its playbook in all kinds of bullshit, but it’s a smokescreen. At core, PE funds buy companies, merge them to monopoly, slash wages, fire staff, load up their businesses with debt, and then skedaddle before the businesses collapse. They call this “creating value”: