Samuelson offered Brown a bet. Flip a coin, heads you win $200, tails you lose $100. As Samuelson had anticipated, Brown declined this bet, saying: “I won’t bet because I would feel the $100 loss more than the $200 gain.” In other words, Brown was saying: “I am loss averse.” But then Brown said something that surprised Samuelson. He said that he did not like one bet, but would be happy to take 100 such bets.
