In the context of APC, what do relative weights measure?

Relative weights in the context of Ambulatory Payment Classification (APC) measure the complexity and costs of procedures. This system is designed to classify outpatient services and procedures for reimbursement purposes based on the resources required to deliver those services.

The relative weight assigned to a particular APC reflects the expected resource consumption for that procedure, including factors such as labor, equipment, and supplies needed. By quantifying the complexity of different outpatient procedures, healthcare payers can more accurately reimburse providers based on the costs associated with the care delivered.

In contrast, other options do not directly relate to the function of relative weights within the APC system. While provider performance metrics, patient outcomes, and administrative costs may play a role in overall healthcare management, they do not inform the APC's relative weight mechanism specifically tied to procedural cost and complexity assessment. Thus, the correct answer emphasizes the key role that relative weights play in determining reimbursement levels based on the nature of the outpatient services provided.