Care Has a Geography
Helena Norberg-Hodge and the institutional cost of treating place as friction
Mitchell McLennan
Founder · Wavestar Holdings · October 2, 2026 · 5 min read
In 1975, Helena Norberg-Hodge was being shown around the Ladakhi village of Hemis Shukpachan by a young man named Tsewang. The houses were large and beautiful. She asked where the poor people lived. He looked perplexed, then replied: "We don't have any poor people here."
Norberg-Hodge did not preserve that answer as pastoral decoration. In Ancient Futures, it becomes evidence against the most successful fiction of modern economics: that development can be read from the volume of formal exchange while the social arrangements beneath it are treated as atmosphere. Ladakh possessed little cash and considerable wealth. Work, food, knowledge, obligation and status circulated through relationships rooted in place. When the global economy arrived, the cash measures improved. Pollution, unemployment, conflict and dependence arrived with them.
Healthcare has staged a quieter version of the same experiment.
For a century, medicine has pursued the benefits of scale. Some of those benefits are beyond dispute. A small town cannot sustain every surgical speciality, manufacture its own MRI scanner or run a credible trial of a rare-disease therapy. Shared standards prevent local custom from becoming local negligence. The trouble begins when scale ceases to be an instrument and becomes a theory of value.
Under that theory, a practice gains sophistication by joining a system. A hospital gains resilience by joining a larger system. Procurement moves to a national contract, scheduling to a regional centre, clinical judgment to a pathway, and the record to a platform whose fields are identical in Maine and Arizona. The surviving local detail is classified as variation, which is another word for waste.
The numbers flatter the direction of travel until one asks what they conceal. In 2024, only 42.2 per cent of American physicians worked in private practices wholly owned by physicians, according to the American Medical Association. That was eighteen percentage points below 2012. Nearly half of physicians either worked in a practice owned by a hospital or health system, or were employed or contracted directly by a hospital.
This might be tolerable if consolidation reliably bought better care. The empirical bargain is much less attractive. A 2025 study of cross-market hospital mergers found that, six years after acquisition, prices at acquiring hospitals were 12.9 per cent higher than at controls. The researchers found no discernible improvement in mortality or readmissions for heart failure, heart attack or pneumonia. Serial acquisition produced a larger price effect. Scale had found a way to bill for itself.
Norberg-Hodge's work explains why this pattern is structural rather than surprising. Distance changes what an institution can know. A local system holds knowledge in people: which family will manage a complicated regimen, which patient says "fine" when frightened, which pharmacist will catch an implausible dose, which road becomes impassable after rain. A remote system requires that knowledge to be extracted, standardised and entered. Whatever cannot survive the journey is omitted.
The omission looks efficient from the centre. The work has merely moved.
It moves to the receptionist who knows the regional scheduling rule will strand an elderly patient and spends forty minutes finding an exception. It moves to the nurse translating a standard discharge plan into something a particular household can perform. It moves to the physician navigating an authorisation designed around a population rather than the person in the room. Local intelligence becomes unofficial labour repairing the consequences of official abstraction.
Norberg-Hodge proposes localisation as an answer to the distancing and anonymity of the global economy. Her claim is often mistaken for nostalgia, as though localisation meant refusing trade, technology or expertise from elsewhere. It means shortening the distance between a decision and the people who live with it. The relevant unit is neither the village in amber nor the sovereign individual. It is the web of dependence that can still perceive its own consequences.
That distinction matters in healthcare because proximity is a clinical capability. Continuity allows a doctor to notice a change that no threshold captures. A community pharmacy can see that five unrelated prescriptions are becoming impossible to fill before a national dashboard labels a shortage. A rural hospital understands that closing obstetrics changes more than service-line economics; it changes where young families can safely live.
The United States has recorded 196 rural hospital closures or conversions since 2005, according to the University of North Carolina's Sheps Center, with 153 occurring since 2010. Each entry can be described as the rational adjustment of an underused asset. Taken together, they redraw the practical map of citizenship. A service still exists nationally while ceasing to exist within reach.
Healthcare localisation therefore cannot mean forcing every capability into every postcode. It means designing scale around subsidiarity: decisions should remain as close as possible to the encounter, moving outward only when the outer layer can genuinely do something the inner layer cannot.
A useful test is reversibility. Shared infrastructure should make it easier for a local practice to change a workflow, add a partner or route around a failure. If joining a network makes departure economically impossible, the network is exercising ownership rather than offering scale.
Another test is whether local knowledge can alter the system. Many institutions invite feedback while preserving the centre's exclusive right to define reality. A localisation test is harsher: can a clinician's grounded objection change the pathway, can a community redirect resources, can a patient population reject a measure that misdescribes its needs? Voice without authority is a survey.
Technology belongs inside this arrangement. The best infrastructure is common underneath and plural at the edge. It handles identity, security, evidence and exchange while leaving room for different institutions to practise differently. The railway standardises the gauge; it does not decide why each passenger travels.
Norberg-Hodge's warning is that economic systems destroy locality long before anyone announces a war on community. They do it by subsidising distance, rewarding concentration and counting the resulting dependency as progress. Healthcare does the same whenever it mistakes a larger administrative perimeter for a larger capacity to care.
Care has a geography because knowledge does. So do trust, consequence and repair. A health system worthy of the name would use scale to protect those things where they live, rather than absorbing them until only the logo remains local.
Originally published on
mitchellmclennan.substack.com
