 In prospect theory, loss aversion appears in  Figure 1(a)  in the (roughly) steeper slope of \(v(\cdot)\) to the left of the origin, representing losses relative to the subject’s reference point, than the slope of \(v(\cdot)\) for gains on the right side of the reference point. Thus, for the same magnitude of change in reward x from the reference point, the magnitude of the consequence of gaining x is less than the magnitude of losing x.