IGCSE Economics vs Business Studies: Which Is Right for You?

Cambridge IGCSE Economics and IGCSE Business Studies both sit in the “business and economics” family but focus on different things: Economics looks at how economies and markets work; Business Studies looks at how businesses are run and make decisions. This guide compares them so you can choose the right subject.

Quick comparison

Aspect	IGCSE Economics (0455 / 0986)	IGCSE Business Studies (0450 / 0986)
Focus	Markets, demand/supply, inflation, trade, government policy	Business organisation, marketing, finance, operations, HR
Papers	2 papers (multiple choice + structured)	2 papers (multiple choice + written)
Calculator	Allowed where calculations needed	Allowed where calculations needed
Difficulty	Conceptual; curves, analysis, essay-style	Mix of concepts and case studies; often applied
Popularity	Very high; common for A-Level/IB Economics	Very high; common for A-Level/IB Business

Papers you need

• Economics: Paper 1 (multiple choice) and Paper 2 (structured questions, data response, essay). Some schools offer Paper 3 (coursework) as an alternative to part of Paper 2 — check with your school.
• Business Studies: Paper 1 (short answer and data response) and Paper 2 (case study). Both are compulsory for the full qualification.

Which is harder or easier?

• Economics can feel harder if you find abstract ideas (demand/supply, inflation, exchange rates) tricky. Essay and data-response technique matter a lot.
• Business Studies can feel more concrete (real companies, scenarios) but still requires clear writing and application of concepts.

“Easier” or “harder” often depends on whether you prefer theory (Economics) or applied business (Business Studies).

Which is more popular?

Both are very popular. Economics is often chosen by students aiming for economics, finance, or social sciences later. Business Studies is popular with students interested in business, management, or entrepreneurship. You can also take both if your school allows.

How Tutopiya supports IGCSE Economics and Business students

Tutopiya specialises in IGCSE and supports both Economics and Business Studies. Our resources platform includes 200,000+ past papers, AI practice, and revision notes developed over 8+ years. Our tutors include ex- and current international-school teachers and IGCSE board examiners (subject-dependent). You can use the platform for past papers and revision, and book a free trial for 1-to-1 tutoring in Economics or Business Studies.

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This guide is for information only. Confirm syllabus and paper options with your school and Cambridge International.