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← HistoryDuring Byzantine diplomacy involving trade routes, which consequence arose upon granting excessive trade privileges?
A)Reduction in imperial tax revenues✓
B)Increased military expedition funding
C)Rise in domestic artisan guilds
D)Strengthen the silk production guild
💡 Explanation
Granting unchecked trade privileges resulted in reduced tax revenue, through Rent-Seeking, because foreign merchants often acquired exemptions or advantageous terms; therefore, imperial coffers diminished, rather than benefiting domestic producers or military capabilities.
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