How did tax exemptions for land reclamation programs affect the central government of Japan?

It was strengthened and developed a large army.

It was weakened and could not provide military protection.

It was forced to launch a series of religious wars.

It was divided, resulting in two emperors.

I believe the answer is: It was weakened and could not provide military protection.

Land reclamation refers to the process of creating new land by elevating the land that covered by the sea or lake and extracting the water out.

Due to the large budget for this project, the government have less money to be allocated for military supplies and soldiers.