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Goldman Sachs: Health-Care Costs Are About to Start Pushing Core Inflation Higher

The Fed will be happy to see this.
That hospital bed could get more expensive.

That hospital bed could get more expensive.

Photographer: George Frey/Bloomberg

Health-care costs, a significant component of the Federal Reserve's preferred gauge of inflation, are poised to accelerate, according to a new report from Goldman Sachs.

"Health inflation typically outpaces economy-wide inflation, but over the last couple of years the health sector has actually been running well below the rate of core inflation," wrote economist Alec Phillips.