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Concept information

social science subjects > business and management > finance > prospective payment system

Preferred term

prospective payment system  

Definition(s)

  • In 1983, the U.S. federal government initiated a new method of payment for Medicare hospital services. The prospective payment system (PPS) created a reimbursement mechanism in which scientifically clustered diagnoses known as diagnosis-related groups (DRGs) would have predetermined compensation amounts, regardless of the hospitals' actual costs. [Source: Encyclopedia of Health Care Management; Prospective Payment System]

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URI

http://data.loterre.fr/ark:/67375/N9J-PNRLRFF0-6

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