Journal of Community Health

, Volume 10, Issue 2, pp 81-92

First online:

The debate over Diagnosis Related Groups

  • Allen D. SpiegelAffiliated withDepartment of Preventive Medicine and Community Health, Downstate Medical Center
  • , Florence Kavaler

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With the advent of the Prospective Payment System (PPS) using Diagnosis Related Groups (DRGs) as a classification method, the pros and cons of that mechanism have been sharply debated. Grouping the comments into categories related to administration/management, DRG system and quality of care, a review of relevant literature highlights the pertinent attitudes and views of professionals and organizations. Points constantly argued include data utilization, meaningful medical classifications, resource use, gaming, profit centers, patient homogenieity, severity of illness, length of stay, technology limitations and the erosion of standards.