CB2-Business Economics - All English

CB2-Business Economics – All English

₹16,000.00

CB2: Business Economics – Regular Course.
Faculty: Shivangee Agarwal
Course Duration: 150+ hours

Category:

CB2 – Business Economics

Build Strong Foundations in Microeconomics, Macroeconomics and Financial Decision-Making

CB2 – Business Economics is a Core Principles subject in the actuarial qualification pathway offered by the Institute and Faculty of Actuaries (IFoA), UK, and the Institute of Actuaries of India (IAI).

The subject introduces fundamental economic principles and their applications to business decisions, financial markets and actuarial practice. It focuses on understanding how individuals, businesses and governments make economic decisions and how these decisions influence markets and financial systems.

CB2 combines microeconomics, macroeconomics, economic policies, market structures and international trade, developing the analytical skills required to interpret economic conditions and assess their implications for insurance, pensions, investments and financial risk management.

Course Structure & Syllabus

CB2 covers the principles of microeconomics and macroeconomics, focusing on economic decision-making, market behaviour and the broader financial environment.

Key Topics Covered:

  1. Economic Principles & Schools of Thought:
    Scarcity, opportunity cost, economic decision-making, classical and Keynesian economic theories, and historical economic developments.
  2. Demand, Supply & Consumer Behaviour:
    Market equilibrium, price elasticity, consumer preferences, utility theory, indifference curves and consumer decision-making.
  3. Production, Costs & Market Structures:
    Production functions, economies of scale, cost and revenue analysis, perfect competition, monopoly, monopolistic competition and oligopoly.
  4. Business Economics & Pricing Strategies:
    Profit maximisation, price discrimination, market competition, business behaviour and strategic pricing decisions.
  5. National Income, Inflation & Economic Growth:
    GDP, national income measurement, unemployment, inflation, economic growth, business cycles and macroeconomic indicators.
  6. Monetary & Fiscal Policies:
    Central banking, interest rates, money supply, government expenditure, taxation, monetary policy, fiscal policy and economic stabilisation.
  7. International Economics & Financial Systems:
    International trade, exchange rates, globalisation, balance of payments, financial markets, financial crises and government economic policies.

The CB2 syllabus focuses on economic reasoning, market analysis, macroeconomic interpretation and business decision-making, developing essential knowledge for actuarial and financial applications.

Syllabus Topics & Weightages

The CB2 syllabus comprises three principal areas, with the following indicative weightages under the IFoA 2027 curriculum:

Topic Weightage
Economic Schools, Economic Thinking & Historical Applications 5%
Microeconomics 40%
Macroeconomics 55%
Total 100%

These weightages indicate the approximate syllabus coverage. Actual question distribution may vary between examination sittings.

Examination Structure

CB2 consists of a single examination paper assessing economic concepts, analytical reasoning and practical applications of economic principles.

Particulars IAI (India) IFoA (UK)
Examination Paper CB2 – Business Economics CB2 – Business Economics
Question Format Objective + Descriptive Descriptive
Examination Duration 3 Hours 15 Minutes 3 Hours 20 Minutes
Maximum Marks 100 100
Examination Mode Centre-Based Online In-Person at Exam Centres or Remotely Invigilated Online

Important Examination Guidelines

  • IAI Examination: Includes objective and descriptive questions, with MCQs accounting for approximately 20–30% of the total marks.
  • IFoA Examination: Follows a written-response format requiring conceptual explanations, economic analysis, numerical calculations and interpretation of economic scenarios.
  • Single-Paper Assessment: CB2 does not have a separate practical Paper B.
  • IFoA Examination Mode: Students can indicate their preference for an authorised examination centre or remote online invigilation. Final allocation is subject to availability and IFoA guidelines.
  • IAI Examination Mode: Examinations are conducted online at designated examination centres in accordance with IAI’s examination arrangements.
  • Examination Requirements: Students must follow their respective institute’s guidelines regarding permitted calculators, software and examination conduct.

Passing Criteria

The passing requirements differ between IAI and IFoA.

Institute Passing Requirements
IAI (India) Minimum 50% marks
IFoA (UK) Must achieve the passing mark determined for the examination sitting

Important Information:

  • CB2 consists of a single examination paper.
  • IAI prescribes a minimum passing requirement of 50% under its current examination rules.
  • IFoA determines the passing mark for each examination sitting and does not prescribe a fixed passing percentage applicable to every examination.
  • Candidates who do not clear CB2 must reappear for the examination in a subsequent sitting.

Eligibility Criteria

CB2 is a Core Principles examination suitable for students developing their understanding of economics and its applications to actuarial science.

  • Students can pursue CB2 through the IAI or IFoA examination pathway, subject to the respective institute’s eligibility and registration requirements.
  • No prior actuarial examination pass is required before attempting CB2 under the IFoA pathway.
  • A basic understanding of mathematics, business concepts and economic principles is beneficial.
  • Students from Commerce, Science, Economics and Mathematics backgrounds can study CB2.
  • Students must fulfil the applicable membership, registration and examination entry requirements of their selected actuarial institute.

Learning Objectives

Studying CB2 develops the ability to:

  • Understand fundamental microeconomic and macroeconomic principles.
  • Analyse consumer behaviour, demand, supply and market equilibrium.
  • Evaluate production costs, pricing strategies and market structures.
  • Interpret economic indicators such as inflation, unemployment and GDP.
  • Understand monetary and fiscal policies and their economic implications.
  • Analyse international trade, exchange rates and global economic developments.
  • Evaluate the impact of economic conditions on financial markets and businesses.
  • Apply economic reasoning to actuarial and financial decision-making.

Practical Applications of CB2

The knowledge gained in CB2 is applicable across several actuarial and financial disciplines:

  1. Life & General Insurance: Understanding inflation, economic growth and interest rate movements when evaluating insurance premiums and future claims.
  2. Pensions: Assessing the impact of inflation, economic conditions and government policies on retirement benefits and pension obligations.
  3. Investment Management: Analysing economic indicators, financial markets, interest rates and investment opportunities.
  4. Banking & Corporate Finance: Evaluating business conditions, market competition, economic policies and financing decisions.
  5. Risk Management: Understanding macroeconomic uncertainty, economic cycles, financial crises and their impact on financial institutions.

CB2 establishes essential economic knowledge that supports advanced actuarial subjects, particularly CM2 – Economic Modelling, CP1 – Actuarial Practice and SP5 – Investment and Finance Principles.

Technical Requirements – AEI Learning Application

To access online classes, recorded lectures and digital study resources, students must ensure their devices meet the following minimum technical requirements of the Actuators Educational Institute (AEI) Learning Application.

Device / Platform Minimum Requirement
Android Android 9.0 or above
Windows PC / Laptop Windows 10 or above
iPhone / iPad (iOS) iOS 12.0 or above
MacBook / iMac (macOS) Apple M1 chip or above with macOS 14 or later
WHAT YOU WILL GET

Course Deliverables

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Recorded Lectures
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Softcopy of AEI Own Study Materials
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Access to Student Dashboard
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Technical Support
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Chapter Wise MCQ Bank
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Regular Mentoring Sessions & Industry Expert Sessions
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Live Concept Classes
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Mock Test with Detailed Evaluation (6 Sets)
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Hard Copy of AEI Own Compiler
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Course Extension (2 More Terms)
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Interactive Q & A Forum

Shivangee AgarwalAIR 1
Anmol BansalAIR 1
Yachi Jain93
Chirag Gupta92
Ashmal Azeem89
Saloni Khanna89
Muskan Chhabra88
Shlok Jain88
Ayush Agarwal87
Jenish Chaplot86
Madhav Kumra86
Mitali Garg86
Shubham Banthia86
Vidisha Mittal86

FACULTY

Meet The Instructor


Shivangee Agarwal is a globally qualified actuary holding the prestigious credentials of FIA (UK), FIAI (India) and FSA (USA), along with the C.Act designation, giving her professional recognition across three of the world’s leading actuarial bodies. She is also IFRI Certified, holds a Master’s in Data and Business Analytics from IIM Indore, and completed her B.Com (Hons. in Finance) from St. Xavier’s College, Kolkata. She secured All India Rank 1 in CT7 – Business Economics, reflecting her strong academic foundation in actuarial science, finance and analytics.

With over 10 years of teaching experience, she has taught and mentored 5,000+ students across Actuarial Science, Data Analytics and Finance. At Actuators Educational Institute, she teaches the Paper B components of CM subjects, along with CS2, CB2, CP2, CP3 and FRM, and also conducts training in Excel, VBA, SQL and R Programming. She has delivered workshops and academic sessions at institutions including SRCC, Lady Shri Ram College, St. Xavier’s College, Mithibai College, IIM Indore and IBS Hyderabad, combining deep technical expertise with a practical, structured and exam-focused teaching approach.

PLAYLIST

Demo Class Videos


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