Since the implementation of hospital payment by the DRG system,           cost shifting no longer occurs in hospitals.     use of RCCAC serves no purpose to the hospital’s management.     payment for hospital stays is based on a patient’s diagnosis at discharge.     payment for hospital stays is based on a patient’s diagnosis upon admittance to the hospital.     payment for hospital stays

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Since the implementation of hospital payment by the DRG system,
 
 
 
   
cost shifting no longer occurs in hospitals.
   
use of RCCAC serves no purpose to the hospital’s management.
   
payment for hospital stays is based on a patient’s diagnosis at discharge.
   
payment for hospital stays is based on a patient’s diagnosis upon admittance to the hospital.
   
payment for hospital stays is less profitable to hospitals.
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Step 1: DRG system

Since the inception of the Diagnosis-Related Group (DRG) system, hospital payment has been linked to a patient's diagnosis at the time of discharge. This means that hospitals receive a predetermined payment based on the specific condition for which the patient was treated, regardless of the actual costs incurred during the hospital stay. The primary goal of this system is to control healthcare expenses and enhance efficiency by categorizing patients into groups with similar diagnoses.

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