The fact that human economic behaviour has a significant irrational element - one that is simultaneously hard-to-explain and highly predictable - has fascinated economists for decades from Fechner, 1860 to Shiller, 2005 and beyond. In this dissertation, I investigate the field from various...

Modeling expected cross-sectional stock returns has a long tradition in asset pricing. My dissertation is motivated by shortcomings of the prevailing and classically used portfolio sorting approach. Consequently, this thesis tackles the task with alternative methodologies. It comprises classical...