Diagnosis related group prospective payment: implications for health care and medical technology

Karen Davis, Gerard Anderson, Earl Steinberg

Research output: Contribution to journalArticlepeer-review

Abstract

This paper reviews the major features of the new DRG prospective payment system which was introduced for the payment of hospitals under the Medicare program October 1, 1983 in the United States. It explores its general implications for the health sector, and then examines its specific implications for the development, diffusion, and utilization of medical technology. It concludes with some of the research questions that require investigation to provide an informed basis for modifications to the payment system that will ensure that quality health care will be provided at an affordable cost.

Original languageEnglish (US)
Pages (from-to)139-147
Number of pages9
JournalHealth policy
Volume4
Issue number2
DOIs
StatePublished - 1984

Keywords

  • DRGs
  • cost containment
  • cost shifting
  • incentives
  • prospective payment
  • technology diffusion

ASJC Scopus subject areas

  • Health Policy

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