The answer lies in a phenomenon known as loss aversion

If it's heads, you lose nothing,but if it's tails, you lose $1000 instead.If you're like most people,you probably chose to take
the guaranteed bonus in the first round and flip the coin in the second round.But if you think about it,this makes no sense.
The odds and outcomes in both rounds are exactly the same.
So why does the second round seem much scarier?The answer lies in a phenomenon known as loss aversion.Under rational economic theory,our decisions should follow a simple mathematical equation
that weighs the level of risk against the amount at stake.