An article on HN recently argued that we DO in fact have deflation on healthcare. Treatments from 1970 are probably a lot cheaper today but in anycase I would rather get an expensive MRI from a lab with a recent model MRI Scanner rather than a cheap scan from an old CT Scanner.<p>If you could choose between 1970s treatments at 1970s-equivalent prices or 2015 treatments at 2015 prices, which would you choose? I would definitely choose modern treatment every time.<p>As for inflation, as long as demand outstrips supply (even just because of population growth), we should expect some inflation. The problem is that when deflation occurs it generally means underlying economic issues.