This five-year proposal aims to improve the payment system by exploring diagnostic related group (DRG) payment systems suitable for tertiary-level hospitals to control health expenditures in Shaanxi Province. Two tertiary-level hospitals will be assigned to an intervention group in comparison to one hospital in the control groups. Data collection will commence on medical records to create and design the clinic pathway of 20-30 common diseases. The cost of medical services for each disease will be calculated from the design, the pilot payment method will be implemented, and the impact of the pilot payment method on medical expenses and medical quality will be compared.