specification overview
Cambridge IGCSE Economics (0455) is a single-tier linear qualification with two papers covering both microeconomics and macroeconomics through global (not just UK) contexts. Paper 1 (Multiple Choice, 45 minutes) is 30 marks and worth 30%; Paper 2 (Structured Questions, 2h 15m) is 90 marks and worth 70%, split into a compulsory data-response section and a section of structured multi-part questions.
subject content
1. The basic economic problem
Papers 1, 2- Scarcity, choice, opportunity cost
- Factors of production, PPFs
2. The allocation of resources
Papers 1, 2- Microeconomics and macroeconomics
- Role of markets, demand, supply, price mechanism
- Market failure and price elasticities
3. Microeconomic decision makers
Papers 1, 2- Money and banking
- Households (income, spending, saving)
- Workers (labour markets, wage determination, trade unions)
- Firms (size, growth, integration, costs, revenue, profits)
4. Government and the macroeconomy
Papers 1, 2- Government macroeconomic objectives (growth, employment, price stability, balance of payments, redistribution)
- Fiscal, monetary, supply-side policy
- Economic indicators: GDP, CPI, unemployment
- Economic growth, employment, inflation
5. Economic development
Papers 1, 2- Living standards, poverty, income inequality
- Population change, developing economies
- Differences in economic development between countries
6. International trade and globalisation
Papers 1, 2- International specialisation, free trade, protectionism
- Foreign exchange rates, balance of payments
- Globalisation
assessment structure
| Paper | What's assessed | Length | Marks | Weight | Question types |
|---|---|---|---|---|---|
| Paper 1 (Multiple Choice) | All six syllabus areas | 45m | 30 | 30% | 30 multiple-choice questions |
| Paper 2 (Structured Questions) | All six syllabus areas | 2h 15m | 90 | 70% | Section A: one compulsory data-response question (30 marks). Section B: three from four structured multi-part questions, each with four sub-parts (20 marks per question) |
Paper 2 requires a choice of 3 of 4 structured multi-part questions in Section B. Choose based on your strongest topic areas. Data-response in Section A is compulsory. From 2027 the Paper 2 total drops from 90 to 80 marks; check which syllabus cycle applies to your entry year.
assessment objectives
| AO | What it means | Overall |
|---|---|---|
| AO1 | Knowledge and understanding of economic terms, concepts, theories and models. | 40% |
| AO2 | Analysis of economic issues and problems using economic terms, concepts, theories and models. | 40% |
| AO3 | Evaluation of economic evidence and arguments to support judgements and informed conclusions. | 20% |
key tips for success
Master demand and supply diagrams
Both papers test demand/supply diagrams. Practise sketching, shifting curves and calculating new equilibrium points.
Practise MCQ pace on Paper 1
30 questions in 45 minutes means 1.5 minutes per question. Practise MCQ under time to build speed.
Pick 3 of 4 structured questions wisely on Paper 2
Section B gives choice of 3 out of 4 structured multi-part questions. Practise picking quickly (~5 minutes to review all four) and playing to your strengths.
Learn key formulas
PED, PES, YED formulas plus GDP, CPI, unemployment rate calculations. Practise interpretation of coefficients and index numbers.
Read global economic news
Cambridge IGCSE is global, questions use non-UK contexts (Kenya, India, Malaysia, Singapore). Follow international economic news, not just UK.
Build clear evaluation into longer answers
AO3 (Evaluation) is 20% and only assessed in Paper 2. Longer sub-parts need: point, evidence, analysis, judgement with 'however' or 'depends on'.
Where to next
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