It does apply to healthcare because healthcare costs are only inflated due to artificial influences. Health insurance, removal of choice of health insurance from the marketplace, government influence on that arrangement due to tax deductibility of employer sponsored insurance but not personally purchased insurance, and finally the expansion of "insurance" to mean a payment system in all transactions and not just the serious items (home owners insurance doesn't pay for minor things).

Government influence is what inflated healthcare costs in the first place by removing all aspects from true consumer choice (aka - the market).