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if the consumption of a product or service involves external benefits, then the government can improve efficiency in the market by

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if the consumption of a product or service involves external benefits, then the government can improve efficiency in the market by providing a subsidy to correct for an overallocation of resources.

What is the overallocation of resources.?

Generally, An organization is said to have committed a resource allocation error of overallocation when it does not have adequate resources to fulfill all of the key tasks that have been allocated within the allotted amount of time. This blunder is also known as over-commitment or over-scheduling, depending on how it was handled.

In conclusion, An organization is said to have committed the resource allocation error of overallocation when it does not have adequate resources to fulfill all of the key tasks that have been allocated within the allotted amount of time.

This blunder is also known as over-commitment or over-scheduling, depending on how it was handled.

Read more about the overallocation of resources.

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