The healthcare sector accounts for 18% of gross domestic product (GDP) as of 2020. The U.S. healthcare sector benefits from a system of research and development (R&D), in cooperation with collegiate educational systems and the technology industry. This sector includes biotechnology, pharmaceuticals, research services, home health care, hospitals, long-term care facilities, and medical equipment and supplies. Big names in this $6 trillion sector include Johnson & Johnson and Pfizer Inc.

From an economic standpoint, consumers and companies face uncertainties regarding needs, outcomes, and the costs of services. Patients, providers, and other industry participants possess widely dispersed information and principal-agent problems can be found everywhere. Healthcare has major barriers to entry from professional licensing and regulation, intellectual property, specialized expertise, and costs.

Industries

  • Biotechnology
  • Drug Manufacturers – Specialty & Generic
  • Drug Manufacturers – General
  • Pharmaceutical Retailers
  • Medical Devices
  • Diagnostics & Research
  • Healthcare Plans
  • Medical Care Facilities
  • Health Information Services
  • Medical Instruments & Supplies
  • Medical Distribution