We just can’t seem to get a break. Just as we are coming out of the pandemic morass with some decent census increases since March of 2021, now we have to worry about a looming recession and stagflation.
Many people in the sector have only seen a growing economy in the past decade and inflation rates hovering between zero and 2%. Stagnation? Never heard of it, well, not for a few decades at least.
As a result, we thought we would take a look at what happened to the senior care sector in the last major recession in 2008-2009, as well as the mini-recession in 2020, and see what exactly happened in our sector and what might happen this time around.
What we concluded is that based on what was learned during the pandemic, combined with the amount of capital still attracted to the entire senior care sector, a recession will not have the negative impact it usually has. It could also help on the labor front, but we are not holding our breath on that one.
We go into this topic in depth in the June issue of The SeniorCare Investor. Please let us know what you think.
