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When Negative WOM Spreads on a Relatively Large Scale, It

question 17

Multiple Choice

When negative WOM spreads on a relatively large scale, it can result in _____.


Definitions:

Overallocation

A situation where resources are allocated in excess to a particular good or service, often leading to inefficiency and waste.

Resources

Assets, materials, or substances that are available and valuable in producing goods or providing services.

Externalities

Costs or benefits that affect a party who did not choose to incur that cost or benefit, caused by an economic transaction.

Health Insurance

A form of insurance that covers medical expenses that arise due to illness or injury, typically providing coverage for a variety of healthcare services.

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