This study used the theory and working principles for Stirling engines to design and manufacture a Stirling engine that can be used for both teaching and research. Gamma type Stirling engines are suitable for use in teaching and research as they are more easily understood and produced, and are relatively safer because they can be operated using water vapor; therefore, a gamma type Stirling engine was selected for this study. This study investigated the design parameters for the Stirling engine, including heat exchanger chamber diameter, heat exchanger chamber height, power piston stroke, displacement, working fluid volume, regenerator, phase angle, and expansion space, to analyze the influence of each parameter on engine output speed. Heat exchanger chamber diameter, phase angle, and expansion space had significant influences; this can help with the energy optimization for gamma type Stirling engines. Keywords: Stirling engine, Outboard engines, The greenhouse effect