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Minimum Wages Act is an example of which dimension?

Answer and explanation

Correct answer: Legal dimension

The direct answer is A: legal dimension. The legal dimension consists of laws, acts, rules, regulations and court decisions that businesses must follow. The Minimum Wages Act fixes or regulates a minimum level of wage payment, so it is clearly a law affecting employment and business decisions. B is wrong because the economic dimension concerns income, inflation, interest rates, growth and purchasing power; although wages have an economic effect, the named Act is itself a legal factor. C is wrong because social conditions concern customs, values and lifestyle. D is wrong because technology concerns production methods and technical innovation. A is correct. Memory cue: when the question names an Act, law, rule or regulation, first consider the legal dimension.

Related tags

Business-EnvironmentDimensionsLegalWages-Act

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