Final answer:
Diagnosis-Related Groups (DRGs) aim to reimburse hospitals based on the average cost of treating patients with similar conditions, encouraging healthcare efficiency.
Step-by-step explanation:
The objective of DRGs (Diagnosis-Related Groups) is to provide a way to reimburse hospitals based on the average cost of treating patients with similar conditions. This system is a departure from the traditional fee-for-service model, where medical providers are reimbursed based on the individual services they provide. DRGs represent a shift towards a model that encourages efficiency and cost containment within the healthcare system by classifying hospital cases into groups that are expected to have similar hospital resource use.