diff --git a/activemodel/lib/active_model/observing.rb b/activemodel/lib/active_model/observing.rb
index 7bad2397ae..707b1a0da6 100644
--- a/activemodel/lib/active_model/observing.rb
+++ b/activemodel/lib/active_model/observing.rb
@@ -1,7 +1,8 @@
 require 'observer'
 require 'singleton'
-require 'active_support/core_ext/string/inflections'
 require 'active_support/core_ext/array/wrap'
+require 'active_support/core_ext/module/aliasing'
+require 'active_support/core_ext/string/inflections'
 
 module ActiveModel
   module Observing
@@ -39,6 +40,23 @@ module ActiveModel
         observers.each { |o| instantiate_observer(o) }
       end
 
+      # Wraps methods with before and after notifications.
+      #
+      #  wrap_with_notifications :create, :save, :update, :destroy
+      def wrap_with_notifications(*methods)
+        methods.each do |method|
+          class_eval(<<-EOS, __FILE__, __LINE__ + 1)
+            def #{method}_with_notifications(*args, &block)
+              notify_observers(:before_#{method})
+              result = #{method}_without_notifications(*args, &block)
+              notify_observers(:after_#{method})
+              result
+            end
+          EOS
+          alias_method_chain(method, :notifications)
+        end
+      end
+
       protected
         def instantiate_observer(observer)
           # string/symbol
@@ -60,7 +78,7 @@ module ActiveModel
     end
 
     private
-      def notify(method) #:nodoc:
+      def notify_observers(method)
         self.class.changed
         self.class.notify_observers(method, self)
       end
diff --git a/activerecord/lib/active_record/callbacks.rb b/activerecord/lib/active_record/callbacks.rb
index 01e41c04df..3aa0b8f1b5 100644
--- a/activerecord/lib/active_record/callbacks.rb
+++ b/activerecord/lib/active_record/callbacks.rb
@@ -349,7 +349,7 @@ module ActiveRecord
           result = send(method)
         end
 
-        notify(method)
+        notify_observers(method)
 
         return result
       end
diff --git a/activeresource/lib/active_resource.rb b/activeresource/lib/active_resource.rb
index 1dcb795a7d..fd4c199b48 100644
--- a/activeresource/lib/active_resource.rb
+++ b/activeresource/lib/active_resource.rb
@@ -34,6 +34,7 @@ module ActiveResource
   autoload :Connection, 'active_resource/connection'
   autoload :CustomMethods, 'active_resource/custom_methods'
   autoload :Formats, 'active_resource/formats'
+  autoload :Observing, 'active_resource/observing'
   autoload :Validations, 'active_resource/validations'
   autoload :HttpMock, 'active_resource/http_mock'
 end
diff --git a/activeresource/lib/active_resource/base.rb b/activeresource/lib/active_resource/base.rb
index 88a431a6d9..bc82139dac 100644
--- a/activeresource/lib/active_resource/base.rb
+++ b/activeresource/lib/active_resource/base.rb
@@ -804,8 +804,7 @@ module ActiveResource
     #   my_company.size = 10
     #   my_company.save # sends PUT /companies/1 (update)
     def save
-      notify(:before_save)
-      (new? ? create : update).tap { notify(:after_save) }
+      new? ? create : update
     end
 
     # Deletes the resource from the remote service.
@@ -821,8 +820,7 @@ module ActiveResource
     #   new_person.destroy
     #   Person.find(new_id) # 404 (Resource Not Found)
     def destroy
-      notify(:before_destroy)
-      connection.delete(element_path, self.class.headers).tap { notify(:after_destroy) }
+      connection.delete(element_path, self.class.headers)
     end
 
     # Evaluates to <tt>true</tt> if this resource is not <tt>new?</tt> and is
@@ -997,20 +995,16 @@ module ActiveResource
 
       # Update the resource on the remote service.
       def update
-        notify(:before_update)
         connection.put(element_path(prefix_options), encode, self.class.headers).tap do |response|
           load_attributes_from_response(response)
-          notify(:after_update)
         end
       end
 
       # Create (i.e., \save to the remote service) the \new resource.
       def create
-        notify(:before_create)
         connection.post(collection_path, encode, self.class.headers).tap do |response|
           self.id = id_from_response(response)
           load_attributes_from_response(response)
-          notify(:after_create)
         end
       end
 
@@ -1093,7 +1087,6 @@ module ActiveResource
 
   class Base
     extend ActiveModel::Naming
-    include CustomMethods, Validations
-    include ActiveModel::Observing
+    include CustomMethods, Observing, Validations
   end
 end
diff --git a/activeresource/lib/active_resource/observing.rb b/activeresource/lib/active_resource/observing.rb
new file mode 100644
index 0000000000..94836f4bb1
--- /dev/null
+++ b/activeresource/lib/active_resource/observing.rb
@@ -0,0 +1,10 @@
+module ActiveResource
+  module Observing
+    extend ActiveSupport::Concern
+    include ActiveModel::Observing
+
+    included do
+      wrap_with_notifications :create, :save, :update, :destroy
+    end
+  end
+end