The economic Survey 2019 suggests that the psychological studies can be used in the realm of tax compliance. It is in favour of using religious norms such as 'dying debt is a sin' to improve tax compliance. Identify the related dimension of business environment.

A. Economic
B. Social
C. Technological
D. Legal
E. Political
Choose the correct answer from the options given below:

B & D

The correct ans is "B & D." The use of psychological studies and religious norms to improve tax compliance is related to the social and legal dimensions of the business environment.

*The social environment of business include the social forces like customs and traditions, values, social trends, society’s expectations from business, etc. Traditions define social practices that have lasted for decades or even centuries. For example, the celebration of Diwali, Eid, Christmas, and Guru Parv in India provides significant financial opportunities for greetings card companies, sweets or confectionery manufacturers, tailoring outlets and many other related business. Values refer to concepts that a society holds in high esteem. In India, individual freedom, social justice, equality of opportunity and national integration are examples of major values cherished by all of us. In business terms, these values translate into freedom of choice in the market, business’s responsibility towards the society and non-discriminatory employment practices. Social trends present various opportunities and threats to business enterprises.

* Legal environment includes various legislations passed by the Government administrative orders issued by government authorities, court judgments as well as the decisions rendered by various commissions and agencies at every level of the government— centre, state or local. It is imperative for the management of every enterprise to obey the law of the land. Therefore, an adequate knowledge of rules and regulations framed by the Government is a pre-requisite for better business performance. Non-compliance of laws can land the business enterprise into legal problems.