Health care coverage in Australia is provided through Medicare, which is administered by the national government. Doctors are paid mostly on a fee-for-service basis but sometimes also through incentives for enhanced services such as after-hours care, managing patients with chronic conditions, and practicing in rural areas. Proposals to address rising health care costs include patient co-payments for doctor services, an expanded role for private insurers (managed care), and an annual lump-sum payment based on the number of patients a doctor has (capitation). What would be the implications for moral hazards and for risk bearing of using lumpsum payments to compensate doctors for their services?