In defense of private equity, with Jared Rhoads, M.S., M.P.H., of the Center for Modern Health

Jared Rhoads, M.S., M.P.H., founder of the Center for Modern Health and senior lecturer of health policy at the Dartmouth Institute for Health Policy and Clinical Practice, joins the show to talk about private equity’s role in health care and how politics are reshaping policy.

Rhoads offers a different take on private equity, arguing that current research is too mixed and fragmented to justify sweeping conclusions or aggressive regulation. He notes that outcomes differ widely across sectors and that positive cases are likely underreported. He also outlines findings from his 2024 prediction survey on health reform, highlighting rising expectations for psychedelic-assisted therapy legalization, growth in direct-pay models, expanded direct primary care and loosened HSA limits.

Throughout, he emphasizes market incentives, empirical evidence and caution against ideology-driven policymaking.

Check out Rhoads' September 2025 article in Medical Economics, "In defense of private equity in health care, mostly."

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Music Credits:
Rooftops by Buurd - stock.adobe.com
Relaxing Lounge by Classy Call me Man - stock.adobe.com
A Textbook Example by Skip Peck - stock.adobe.com

Editor's note: Episode timestamps and transcript produced using AI tools.

00:00 — Why it’s too early to vilify private equity
Rhoads questions strong anti–private equity narratives and discusses limitations in current evidence.

01:20 — How the literature frames costs, outcomes, and price effects
He points to the BMJ systematic review and mixed findings on quality, utilization, and pricing.

04:55 — The case against broad private equity regulation
Concerns about deal-size review thresholds, bans, and financial instruments; Rhoads favors targeted guardrails over blanket restrictions.

08:50 — When private capital may actually help
Why hospitals in financial distress or needing infrastructure upgrades might benefit from outside investment — and why positive cases rarely surface.

12:30 — Surveying policy under Make America Healthy Again
Rhoads outlines his prediction survey on 28 health policy propositions tied to the Trump administration.

14:50 — Psychedelic-assisted therapy on the rise?
Why he sees legalization in several states as increasingly likely.

16:15 — Direct pay surgery centers and direct primary care
Cultural alignment with MaHA principles driving expectations of growth.

18:10 — HSAs: modest movement, but real movement
Contribution-limit changes and why he sees further shifts ahead.

20:35 — Call for clinicians to join the next prediction survey
Rhoads encourages physicians to participate in the 2025 policy outlook assessment.

21:00 — Close
Final thoughts.