Messy Problems and Lay Audiences: Teaching Critical Thinking Within the Finance Curriculum    

This article investigates the critical thinking difficulties of finance majors when asked to address ill-structured finance problems. The authors build on previous research in which they asked students to analyze an ill-structured investment problem and recommend a course of action. The results revealed numerous critical thinking weaknesses, including a failure to address the client's problem, use analytical tools systematically, construct rhetorically useful graphics, or translate finance concepts and methodologies into lay language. The present research aims to understand more deeply why students struggle with ill-structured problems. Using think-aloud protocols, audiotaped interviews, and other strategies, the authors explore causes of finance students' difficulties and suggest strategies for addressing them. The results suggest that the homework tasks typically given them, such as quantitative problem sets using algorithmic procedures, do not prepare them to confront ill-structured problems requiring disciplinary arguments aimed at specified audiences. Research further suggests that teaching audience adaptation--especially for nonexpert audiences--is helpful in promoting critical thinking.

Carrithers, David, Teresa Ling and John C. Bean. Business Communication Quarterly (2008). Articles>Education>Financial>Business Communication

Using a Client Memo to Assess Critical Thinking of Finance Majors    

This article describes a holistic, discourse-based method for assessing the critical thinking skills of undergraduate senior-level finance majors. Rejecting a psychometric assessment approach in which component features of critical thinking are disaggregated, this study is based on a holistic scoring of student memos. Students were asked to recommend and justify a course of action to a lay client facing an ill-structured finance problem. Analysis of student memos reveals critical thinking weaknesses that may be ameliorated by changes in assignments or instructional methods. The memos reveal four kinds of critical thinking problems: (a) failure to address the client's problem, (b) random rather than purposeful application of finance tools and methodologies, (c) inability to translate finance concepts or methods into lay language, and (d) inability to construct rhetorically useful graphics. The curricular implications of this study are discussed.

Carrithers, David and John C. Bean. Business Communication Quarterly (2008). Articles>Education>Business Communication>Assessment