How Did the Emperor Caracalla Attempt to Solve the Budget

question 2

Multiple Choice

How did the emperor Caracalla attempt to solve the budget crisis?

• A) He bestowed citizenship on every subject-man or woman-in the Roman Empire except slaves, thereby increasing inheritance tax receipts.
• B) He attempted to expand his empire still further into the Germanic lands north of the Danube, thereby securing yet another source of war plunder.
• C) He passed a law whereby Italians, for the first time, would be taxed much like other citizens of the empire.
• D) He promised the soldiers land in the provinces in exchange for their acceptance of reduced pay.

Understand the concept and objectives of different dividend policies, including the residual dividend approach.

Recognize the impact of taxes on investor preferences for dividend payouts.

Comprehend the mechanism and implications of homemade dividends.

Evaluate the tax implications of stock repurchases compared to cash dividends.

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Definitions:

Common Resource

A type of good that is non-excludable and rivalrous, such as fish stocks in the ocean; it is available to all but can be depleted by excessive use.

Public Good

A good that is both nonexcludable and nonrival in consumption.

Fire Protection

A range of measures and services designed to minimize the impact of fire on people, property, and the environment.

Private Good

A good that is both excludable and rival in consumption.