Which of the Following Statements About the DRG Payment System

Which of the following statements about the DRG payment system is not correct?
DRG payment system

A) was instituted to stem the cost escalation incentive caused by cost reimbursement type payments to hospitals.
B) is an alternative to per diem, capitation or payment via global budgeting.
C) is assessed using patient discharge diagnoses.
D) is a system of administered prices initiated by the government, but which creates a public good since other insurance companies adopt the DRG system.
E) uses the same reimbursement rates within each diagnostically related group for all hospitals in the country.