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Journal of Education for Business

ISSN: 0883-2323 (Print) 1940-3356 (Online) Journal homepage: http://www.tandfonline.com/loi/vjeb20

Increasing Creativity in Economics: The Service
Learning Project
Aref Hervani & Marilyn M. Helms
To cite this article: Aref Hervani & Marilyn M. Helms (2004) Increasing Creativity in Economics:
The Service Learning Project, Journal of Education for Business, 79:5, 267-274, DOI: 10.3200/
JOEB.79.5.267-274
To link to this article: http://dx.doi.org/10.3200/JOEB.79.5.267-274

Published online: 07 Aug 2010.

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Increasing Creativity in Economics:
The Service Learning Project
AREF HERVANI
MARILYN M. HELMS
Dalton State College
Dalton, Georgia

W

ith only 23% of instructors
requiring term papers in upper

level courses and only 11% requiring
shorter papers (Becker & Watts, 1996),
economics students do relatively little
writing in their economics courses.
Term papers are required in only 12%
of the principles of economics courses,
and this requirement, surprisingly, does
not vary with class size (Siegfried &
Kennedy, 1995). Research in economic
education suggests that this lack of
writing is a limitation of current economic instruction (Anderson, 1992;
Salemi, Siegfried, Sosin, Walstad, &
Watts, 2001). A more creative teaching
method based on classroom interaction
can lead to a more effective delivery
style that would improve instructional
education in intermediate and upper
level economic courses. In this article,
we discuss the implementation of service learning projects as a way to both
improve teaching and motivate students

to write more papers.
Service learning projects expand
teaching and learning beyond classroom activities by relying on more
practical applications (Berson, 1994;
Giles & Eyler, 1994; Kinsley, 1993).
Service learning has been applied in a
wide variety of disciplines and courses,
including writing and composition
(Adler-Kassner, Crooks, & Waters,

ABSTRACT. In this study, the authors
analyze an effective classroom teaching style that relies on interactive learning and integrates classroom activities
and efforts into communities. They
introduce the service learning project
as an effective teaching tool that can be
used along with other effective teaching practices to enhance students’
learning outcomes. The authors found
that the success of the service learning
project is affected by the degree of integration among the institution and the
public and private community agencies. Through such integration, both the

students and the community receive
greater benefits from increased knowledge and joint activities.

1997), finance (Dahlquist, 1998), engineering (Kvam, 2000), psychology
(Wilson, 2003), science and mathematics (Duke, 1999; Mogk & King, 1995;
Ostroff, 1996), accounting (Cruz,
2001), nursing (Narsavage, Lindell,
Chen, Savrin, & Duffy, 2002) Spanish
(Plann, 2002), political science (Robbins, 2001), and liberal education (Battistoni, 1995; Bloom, 2003; DeVitis,
Johns, & Simpson, 1998; Huckin, 1997;
Sigmon, 1996) courses.
An instructor’s objective should be to
help students develop proficiencies in
economics. Proficiencies refer to the
ability to combine subject matter
knowledge and a set of complementary
skills in ways that go beyond classroom

assignments and examinations. By the
time of their graduation, economics

majors should have a developed set of
proficiencies. Hansen (1986) proposed
the following five proficiencies, each
embracing progressively higher levels
of cognitive skill:
1. Accessing existing knowledge. The
graduate should be able to locate published research in economics and related fields, find information on particular
topics and issues in economics, and
search out economic data as well as
information about the meaning of the
data and how they were derived.
2. Displaying command of existing
knowledge. He or she should be able to
write a review of a published journal
article, summarize in a 3-minute monologue or a 200-word written statement
what is known about the current condition of the economy, summarize the
principal ideas of a leading economist,
summarize a current controversy in the
literature, state succinctly the dimensions of a current economic policy
issue, and explain key economic concepts and describe their use.

3. Interpreting existing knowledge.
The economics graduate should be able
to explain the economic concepts and
principles used in economic analyses
appearing in daily newspapers and
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weekly magazines; read and interpret a
theoretical analysis, including simple
mathematical derivations reported in an
economics journal article; and read and
interpret a quantitative analysis, including regression results, reported in an
economics journal article.
4. Applying existing knowledge. He or
she should be able to prepare a written
analysis of a current economic problem

as well as a two-page decision memorandum for a superior that recommends
an action on an economic decision faced
by the organization.
5. Creating new knowledge. The graduate should be able to identify and formulate a series of questions that will
facilitate investigation regarding an economic issue, prepare a five-page proposal for a research project, and complete a
research study and report the results in a
15-page paper.
In this article, we propose assigning a
student paper or service learning project
as a way to address these knowledge
deficiencies. Service learning involves
students in a wide array of diverse activities that benefit all the students and use
the experiences generated to enhance
learning, provide the student with a
deeper understanding of the course content, and enhance the student’s sense of
civic responsibilities and/or civic leadership (Bringle & Hatcher, 1996; Waterman, 1997).
Service learning addresses three proficiencies mentioned above—numbers
1, 2, and 4—in detail and often will
address all five proficiency areas. Service learning also meets the curricular
need for more writing and application in

economic courses. Becker (1997) called
for new research on the relative merits
of multiple-choice and essay tests; on
the lasting effects of course work in economics; and on the effects of instructors, instructional techniques, and new
technologies on student learning. Becker (1999), Watts (2000), and Becker and
Watts (2001) suggested that lecturing is
far too passive to engage learners and
called for other techniques to help students become more active in learning.
Service learning is a way to make the
on-campus classroom a more active
experience and appeal to students’ interest by being more relevant.
268

Journal of Education for Business

The Need for Creativity
in Economics
In learning theory, higher levels of
understanding require active involvement in application and use of concepts
(Becker, Highsmith, Kennedy, & Walstad, 1991). Active involvement in the

learning process seems to help, particularly when students are learning how to
solve complex problems. In addition,
case learning or other applied learning
offers opportunities for repetition and
reinforcement of concepts already studied, thereby increasing the likelihood of
retention (McKeachie, 1999). Students
enjoy real-life examples and develop a
greater appreciation for the relevance of
concepts. Actual current economic
events are brought into the classroom to
help fill gaps created by students’ lack
of real-world experience. As a result,
the motivation to learn may be enhanced
(Bonwell & Eison, 1991). Fels and
Buckles (1981) proposed three main
objectives to courses in economics: to
master economic principles, to acquire
skill in applying the principles to reality, and to learn to analyze policy issues
systematically.
Service learning, including the case

method, presents real-world problems
in which students are expected to apply
the theoretic knowledge and analytical
methods that they have acquired. Cases
and real-time events contain information that is not only diverse and interesting but also relevant to the business
environment where graduates will be
working (Buckles, 1999). Such activities convey information about qualitative trade-offs and complex environments. Hansen (1999) stated that
students are developing important skills
that help them function more effectively
in the labor market or in graduate
school, even though those skills are not
always measured by exam scores or
course grades.
Two significant themes for teaching
college-level economics are adaptability of course content and stimulation of
student learning—both goals of service
learning. First, classroom experiments
are effective because students are
placed into the economic environments
being studied. Good teachers understand, perhaps intuitively, that to

achieve deep, lasting learning, students
need to be engaged on many levels—
emotional, physical, spiritual, and cognitive (McLeod, 1996). Teaching
should incorporate diverse methods that
engage students in personal exploration
and help them connect course material
to their own lives.
Second, there are several ways to
enhance students’ learning when the
major constituent is their own willingness and participation. The students’
learning process also can be enhanced
through the resources provided by the
instructor or the institution to increase
student learning experiences. Additionally, the degree of integration among
the business, community, and institution plays a major role in enhancing
students’ learning and transferring the
classroom knowledge into the business
community.
Students’ willingness to participate in
classroom activities or engage in outside
activities relevant to the course can
enhance learning outcomes. The instructor plays an important role in providing
students with opportunities to expand
their classroom learning through communities. The integration of students’
learning into the community not only
provides the students with practical
hands-on experience but also benefits
the society as a whole by using student
or human capital produced by the academic institutions.
The institution’s efforts to provide
ease of movement between the classroom and community can encourage the
instructors to participate in these programs and to implement projects that
enhance student learning. The institutions should play a greater role in identifying the community needs and the
opportunities to work with businesses.
Resources devoted to such activities can
lead to accumulated knowledge over
time and gradual development of the
infrastructure to absorb such integration.
Seldom do the traditional teaching
styles used in most institutions encourage learning beyond the classroom. Yet,
educational institutions must meet the
increasing expectation on campus and in
the community for integration of student
learning and community needs in the
interest of resolving America’s social
problems (Jacoby, 1996). We believe that

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enhancement of the student’s learning
process can be achieved when the institutions play a greater role in providing the
necessary resources and incentives that
make such integration possible. One way
that institutions can accomplish this is
through community service learning and
adaptation of the service learning pedagogy (Berson, 1994).
Working with community resources
can include a variety of organizations.
For example, organizations that are
working with area problems can include
homeless shelters, after-school programs (Big Brothers/Big Sisters, Junior
Achievement, Girl’s Inc.), urban planning groups (city councils, planning and
zoning boards, county commissions),
abuse centers (family and children’s services, crisis center, community kitchen),
and other public or private agencies.
The Service Learning Center at the academic institution or a similar outreach
department should take the initiative to
make contacts with these and other
community agencies to identify their
needs (dealing with problems at hand)
and build ties to the curriculum by introducing the service learning concept and
projects.
Service Learning Pedagogy
The service learning pedagogy integrates classroom learning into the community by assigning projects requiring
structured reflection that benefits both
students and the community (Berson,
1994; Eyler & Giles, 1999; Glenn,
2002; Howard, 1998; Jacoby, 1996;
Kinsley, 1994; Mass-Weigert, 1998).
Elzinga (2001) and Eyler, Giles, and
Schmiede (1996) commented that an
effective teaching style provides an
effective learning environment in the
classroom and enables students to
apply classroom learning to real-life
situations. For instance, the goals and
objectives for economic faculty members are to provide students with an
understanding of the theoretical foundations of economics and also help
them develop the necessary skills for
analytical thinking. When confronted
with real-life situations and problems,
students can apply their analytical
thinking to comprehend and resolve
them. Instructors provide students with

relevant examples and case studies that
make a clear connection between theoretical materials and real economic situations. This goal can be achieved
through improvements in the creative
and effective aspects of learning and
teaching methods.
Because the exact mode of active
learning in the classroom can be
achieved through several means, the
choice is affected by the resource availability. The design and implementation
schedule is critical to the success of the
assigned student projects and the
degree of student learning. At several
colleges and universities, students are
introduced to service learning through
participation in short-term experiences
(McCarthy, 1996), providing a balance
of challenge and support along with
possible future participation in community service experiences that have more
long-term outcomes and in-depth learning (Grauerholz, 2001).
In addition, service learning projects
provide the faculty member with an
opportunity to conduct action research
(Harkavy & Benson, 1998), in which he
or she uses the constructed theory,
applies it, and further tests it for validity and applicability. The action research
tends to increase the instructor’s under-

On-campus
resources

standing of teaching and learning and
ultimately leads to improvements in his
or her classroom practices (Richards &
Platt, 1992). Cooperative learning has
been found to increase college faculty
instructional productivity (Johnson,
Johnson, & Smith, 1991). Faculty members are encouraged by the service
learning and find links to the external
community that form the basis of teaching cases, journal articles, and research
streams in addition to increasing the service component of the instructor’s role.
Service learning projects that benefit
both the students and the community
can best be achieved through integration
among institutions, local communities,
businesses, government, nonprofit services, and local groups (Mathews,
1997). Putnam (1993) suggested that
state governments should experiment
with modest subsidies for training programs to achieve this integration. We
illustrate this type of integration in Figure 1. The educational institutions provide the basic skills and collaboration
among the parties; however, significant
change is needed in the way that most
universities view knowledge and how
graduates tend to isolate problems in
complex human society (Gronski &
Pigg, 2000). The integration between

Institutional
• Students
• Faculty
• Academic

Integration
• Interinstitutional
• Problem solving
• Civic leadership

Service learning:
Academic driven

Off-campus
resources

Community
• Public agencies
• Private agencies

FIGURE 1. Service learning pedagogy in integration.

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the educational institutions and the public agencies is more likely to occur with
a public institution than a private one.
The community college also has a
unique opportunity within the service
learning paradigm, because the community college has a greater commitment
to improve the communities surrounding its campuses (Berson, 1994).
The cooperation and integration of
the public agencies can lead to greater
use of service learning projects in the
public institutions and will provide students with the opportunity to take a
leading role in solving the community’s
problems. The service learning projects
also can be designed to provide support
for the business communities and
enable them to use the student’s efforts.

Mankiw, 1998; Marks & Rukstad,
1996) and is more suited to intermediate
and upper division courses. The service
learning pedagogy has four components: preparation, action, reflection,
and evaluation.
In Figure 2, we break these steps
down into weekly activities within a
semester in a course incorporating the
service learning project. Students are
introduced to the project in the course
syllabus and receive a project orientation
and a handout sheet outlining expectations and project due dates during the
3rd week of a 16-week semester. Preparation and its importance to any successful project are stressed. Student teams
select a locality or a state and, after initial research, identify a problem facing
the selected locality as well as ways to
address the problem. The instructor
approves topics during the first month of
class. The instructor may place students
into small teams of three or four members to complete the project or allow
them to choose their own team mem-

The Service Learning Project
Service learning lends itself well to
an economics curriculum (Erekson,
Raynold, & Salemi, 1996; Freeman,
2001; Hansen, 1986; Holt, 1999;

Preparation

bers. Students are required to write a
short paragraph on the chosen social
topic (e.g., homelessness, unemployment, literacy, trade embargo, fair trade
practices, hunger, labor migration, race
issues, feminization of poverty, and
women’s issues) that they will investigate for the paper project. In Table 1, we
list examples of possible paper topics.
Preparation
The implementation of service learning projects will be successful if the
institution has developed the infrastructure or has devoted the resources necessary to use the projects and pedagogy.
In the absence of a dedicated center, the
service learning projects may consist
only of the preparation phase. If the
outreach infrastructure is in place, students may complete all four stages of
the project successfully.
The first phase of the project is the outline preparation. In the preliminary draft,
students are asked to present the problem

Learning Process
• Select team topic
• Research
• Provide summary

Weeks 2–5

Project discussion
Project development
Project analysis

Weeks 6–11

Reflection

Presentations
Application and discussion

Weeks 12–14

Evaluation

Performance
Contribution

Weeks 15–16

Action

The service
learning pedagogy

FIGURE 2. Service learning pedagogy: Steps and implementation procedure.

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Journal of Education for Business

TABLE 1. Possible Student Paper Topics

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•
•
•
•
•
•

Increasing downtown parking
Lobbying: A way to change how schools are funded
The importance of a tax on all property owners
Prohibition
Encouraging better school attendance
Balancing high real estate taxes when there is a lack of commercial/industrial
income in the community
• Improving the appearance of small towns
• Increasing the local labor supply
• Adding a new sports stadium for a growing community
• Expanding restaurants for a growing community
• Restricting farmers in the amount of targeted crops that they can grow yearly
• Keeping employees; lowering turnover
• How small businesses can attract more customers without a large capital outlay
• Making recreational facilities in downtown areas safer
• Pollution and transit problems
• Carpooling challenge
• Reversing the lack of computer acceptance among senior adults
• Reducing unregulated natural monopolies
• Reducing crime and poverty
• What churches with a tight budget can do when the congregation is outgrowing
the building
• Too many students, too little space inside the school building
• Political entity: Possibilities of detaching from a township
• Combating urban sprawl
• What can be done about the high cost of healthcare/prescriptions
• Failing downtown business areas
• Flat tax rates
• How small businesses can survive against large firms that dominate business
• Community transportation challenges
• Household trash and how to decrease pollution
• Tax incentives to bring people to downtown areas
• How airports affect communities
• The power of bringing business into small communities
• How a lack of hotels affects a town and tourist attractions
• How restoration projects affect local businesses
• The problem with overcrowded streets and possible solutions
• How towns can attract college graduates back to their hometowns
• Keeping up-to-date fire-fighting equipment
• Analyzing reverse logistic/recycling issues
• How rural communities can better adapt to a high number of immigrants
• Changing speed limits
• College campus parking shortages
• How underdeveloped land areas raise problems such as lack of city water and sewer
systems
• Tax fraud
• Strip malls and how they benefit a community
• Increasing restaurant choices in a small community
• Government interventions to shatter monopolies
• Why high tax rates in communities may not mean the best education for the children
in the community
• What can be done about overcoming crowding in schools
• What local communities can do to improve their schools
• Establishing a bioscience campus
• Solutions to cleaning up high school campus litter
• How to improve road conditions when very little money is available
• Increasing the number of teachers in schools
• Landfills and how they affect property value
• Unfair prices of water due to limited water supply
• Encouraging students to remain in school
• Expanding technology in the area
• Managing the unskilled labor pool
• Ways of attracting skilled nurses to the area

statement and include a description of the
area chosen for investigation. The
expanded problem statement describes
the situation that the community is facing
and includes identifying information on
the community, such as name, location,
population size, and the potential number
of person(s) affected by the issue.
The class uses economic indicators to
identify the “problem” in the chosen
community and its source. Students
describe their project idea for alleviation or resolution of the identified problem(s) and explain the goal and purpose
of the project. They also specify the
methods or steps necessary for achieving the goal and objectives through
research, and they state how the goals
and objectives of the project can be
achieved through use of concepts and
theories learned in economics, business,
or related disciplines.
The student teams create an action
plan outlining the steps needed for
investigation of the chosen issue. Students identify the specific sources of
data, types of data (e.g., time series or
cross-sectional), and the level of data
(e.g., country, state, or city). In addition,
they must divide the project by developing a task list identifying group member
assignments and milestones required
before the due date. Students are made
aware that all members must participate
actively and equally in the project.
The participating instructors remind
students that the assignment is designed
to assist them in developing a quality
project that potentially could effect significant social change. Thus, the outline
preparation is a first step prior to the
“action” or “project development” phase.
Preliminary questions, concerns, and
comments are addressed in the outline.
This part of the preparation phase serves
to aid the groups in project achievement.
Throughout the semester, students have
an opportunity to integrate their learning
from the project into class discussions.
They are challenged to reflect critically
on their topics and proposed solutions.
Action
The second phase of the project is the
action plan. In this phase, students familiarize themselves with the selected issue
by visiting the relevant institutions or
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agencies currently addressing the problem. For example, if the students’ project
is to find a possible solution to homelessness in their localities, then the students
visit a homeless shelter, interview volunteers and managers, and talk to actual
homeless individuals to better understand the issue and its current handling.
They also may volunteer at the agency.
This is particularly effective if community links have been established previously
by the school’s office of service learning.
The community service learning coordinator usually initiates several sessions
with interested faculty members throughout the term to compare experiences and
share solutions to common problems.
This action stage will include additional
Internet and library research.
Reflection
The third phase of the project is
reflection. Service learning produces
the best outcomes when meaningful service activities are related to course
material through reflection activities
such as directed writings, small group
discussions, and class presentations. At
the completion of the project and before
the end of the semester, students are
asked to present and discuss their projects in reflection sessions, which provide instructors with the opportunity
both to observe and to guide the lessons
being learned.
The service learning philosophy provides structured time for students to
think, talk, and write about their experiences during their service activity. This
reflection provides students with a
chance to see knowledge acting on real
situations in their own communities,
further extending learning beyond the
classroom. Service learning helps foster
the development of a sense of caring for
others. It is also a means by which colleges and universities can promote the
civic engagement of students. The
reflection process allows students to
think about their achievements in the
process of service learning and evaluate
their contributions to the community.
Evaluation
The fourth phase of the project is
evaluation. For this particular assign272

Journal of Education for Business

ment, the instructor is the primary evaluator of the students’ work. He or she
judges it according to the approach that
the student took to identify and develop
a service learning project and identify
its possible contributions to the community. The participating instructors evaluate the project according to the guidelines set forth in the syllabus at the
beginning of the project. Other evaluators can include the external community
groups who potentially will benefit
from the findings. Other class members
also can evaluate the presentations and
provide feedback to both the student
team and the instructor on their adherence to the project guidelines as well as
their in-class delivery.
The Service Learning Center prepares
a summary of the students’ reports.
Within several weeks after the course
ends, the Service Learning Center
reviews several critical issues, including
the appropriateness of the community
sites and the success of service learning
activities used in the course.
Paper Presentations and Grading
Student teams present their results in
a research format during class. First,
general information on the project, such
as the community involved, the population affected, and other relevant demographics, is covered; then students
describe the goal and objectives of the
project. Next, they present the procedures and steps that helped the group
achieve the goal, followed by the project learning objectives, a summary of
the use of economic concepts in offering solutions to the chosen problem, and
an explanation of how the textbook concepts are reflected in the project.
At completion, the instructors evaluate the students’ projects according to
the quality of their work—that is, their
analysis of the stated problem and their
development of a solution. In a macroeconomics course, for example, service
learning projects receive a grade based
on how successfully the student team
has (a) used knowledge from the economics course to analyze the state of the
economy (using the economic indicators) and (b) tackled the issue at hand by
offering solutions at a macro level that
make use of the government’s policies.

Short- and Long-Term Benefits
The service learning experience leads
to the development of critical thinking
skills such as analysis, synthesis, and
evaluation (Kinsley, 1994); increased
understanding of social problems; the
ability to work collaboratively and creatively; and, possibly, the development
of career goals (Gose, 1997; Jacoby,
1996). Students who participate in service learning projects acquire valuable
lessons from the community that they
are serving (Stanton, Giles, & Cruz,
1999). They gain a greater sense of
responsibility as members of a community (Jacoby, 1996) and develop a
greater sense of the connection between
concepts learned and the challenges
offered by a diverse society (Wallace,
2000). The core values of service learning projects are to promote social
awareness and caring, responsibility,
accountability, critical thinking, creativity, and active learning. They energize
classroom learning by motivating faculty interest in teaching and student interest in the material, and they promote
social ethics (Carver, 1997).
As a secondary goal, these projects
serve to empower students and promote
leadership skills and personal reflection.
Students are enabled to make a difference. Moreover, service learning projects serve several parties’ long-term
goals: They produce a detailed analysis
of complicated social problems and
issues; provide students with more
knowledge on public and private organizations and an expanded outlet to
careers; expand the contributions made
by institutions to the community; and
promote a more efficient integration
among educational institutions, the
community, and businesses.
Suggestions for Implementation
in Other Courses
The service learning projects can
encompass various activities, depending
on demographics, size of the economy,
the locality, the college affiliations or
community involvement, the student
population, and class size. The projects
can be developed as an ongoing process
over multiple terms and involve several
different student classes. The projects

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can be designed for individual students
or group work, allowing for the development of problem-solving skills.
As the service learning projects can
be applied in a number of disciplines,
interdisciplinary service learning courses can be developed. The first step to
implementation would be to identify the
necessary outlets through which the
classroom learning is transferred to
agencies dealing with these issues. As an
example, medical schools have created
trial service learning programs placing
beginning students in community sites.
These programs take place in the context
of a broader relationship between academic medical centers and their surrounding communities (Schamess, Wallis,
David, & Eiche, 2000). Similar transferring of learning easily can be applied to
service, social, and business organizations and agencies.
Service learning programs can
encompass topics such as the peace and
justice studies that integrate community
service with course content and require
students to work in their local communities. The topics examined can include
domestic social justice issues such as
inequality, racism, sexism, and economic inequality (Roschelle, Turpin, &
Elias, 2000). Through such involvements, these programs encourage students to become political advocates who
promote social justice both nationally
and internationally.
If integrated into a well-developed
program, international service learning
programs also can fulfill their potential
as a transformational experience for students by informing subsequent study
and career choices. International service
learning provides students with the
opportunity to work with local organizations to serve the community where
they are staying, to engage in a cultural
exchange, and to learn about a daily
reality very different from their own.
According to Grusky (2000), international service learning programs can
motivate faculty members to address the
huge knowledge gap that exists in international development education.
Areas for Further Research
Future research should examine the
degree of community involvement by

various institutions and effective means
of furthering this level of integration
to foster transfer of knowledge from
students to local communities and
economies. Research must identify the
outlets that institutions and localities
will need to take a more responsible
role in promoting the transfer of knowledge between classrooms and local
economies. Other research should consider the implementation process within the business and economics curriculum and the evaluation of the benefits
versus the time and opportunity costs of
these projects.
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