Distress and eustress can be differentiated based on their effects on an individual's mental and physical health. Distress, often referred to as negative stress, can lead to anxiety, depression, physical illness, and poor decision-making. On the other hand, eustress, or positive stress, can lead to improved performance, motivation, and overall well-being. It's important to note that the same event can cause distress in one person and eustress in another, depending on their perception and coping mechanisms.
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