4.1 Traditionally, doctors were paid on a fee-for-service basis. Now, increasingly, doctors are paid on a capitated basis (they get paid for treating a patient for a year, regardless of how much treatment is required), though a patient may still have to pay a small fee each visit. In this arrangement, doctors form a group and sign a capitation contract whereby they take turns seeing a given patient. What are the implications of this change in compensation for moral hazard and for risk bearing?