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The impact of DRG payment reform on inpatient costs for different surgery types

An empirical analysis based on Chinese tertiary hospitals

Bibliographic Data

ID22072142
AuthorsMingwei Luo (0000-0002-8486-6420, Panzhihua Central Hospital), Hongying Li (0009-0005-9926-7200, Sichuan Academy of Medical Sciences & Sichuan Provincial People's Hospital), Rui Li (0000-0001-9744-7965, Panzhihua Central Hospital), Rongyue Li, Yucheng Wu (0000-0002-8231-8172, Panzhihua Central Hospital), Yugao Wu, Yajia Lan (0000-0002-9818-3057, Panzhihua Central Hospital), Yuping Lan (0000-0001-8058-9414), Shiwei Xie (0000-0001-9204-119X, Panzhihua Central Hospital)
Year2025
Volume13
Pages1563204-1563204
Publication date2025-06-03
Peer ReviewedYes
Open AccessYes
TypeARTICLE
VenueFrontiers in Public Health (JOURNAL)
Journal identifiersISSN: 2296-2565 • E-ISSN: 2296-2565
PublisherFrontiers Media SA (PUBLISHER • CH)
DOI10.3389/fpubh.2025.1563204
PMID40529694
OpenAlexW4411005996
LanguageEN
Citations received4
References cited22

Background: To evaluate the impact of DRG (Diagnosis-Related Group) payment reform on inpatient costs for four major types of surgery at a tertiary hospital in China, with a focus on its implementation in general surgery, cardiothoracic surgery, neurosurgery, and urology. Methods: Based on inpatient data from 2019 to 2023, the study employed Propensity Score Matching (PSM) and Difference-in-Differences (DiD) models to compare inpatient cost differences between the DRG payment group and the non-DRG payment group. Concentration indices were used to assess the consistency of inpatient cost distribution. Results: The DRG payment reform significantly reduced the total inpatient costs for surgeries in general surgery, cardiothoracic surgery, neurosurgery, and urology, particularly in terms of drug and material expenses. Additionally, the inpatient cost distribution in the DRG payment group became more concentrated, indicating a significant reduction in the proportion of high-cost cases. Conclusion: The DRG payment reform effectively controlled inpatient costs in Chinese tertiary hospitals, particularly for complex surgical procedures, and improved the efficiency of healthcare resource utilization. This study provides empirical support for the further implementation of DRG payment reform and offers policy recommendations for optimizing China's healthcare payment system

Business · Economics · Medical emergency · Operations management · Payment · Healthcare Operations and Scheduling Optimization · Healthcare Policy and Management · Medical Coding and Health Information · Medicine · Emergency Medicine · Finance

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  • Data Quality

    Harvey D Doremus, H Doremus et al.•Medical Care•1983

  • Health care reform and Diagnosis Related Groups in Germany

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Unique citing works4
Citations per year4
Citation span2025 - 2026 (2)
Citation velocitycurrent
Highly citedNo
Citation typesNeutral: 4

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