I've tried to explain why below, but the real point is just "from personal experience I can't image it isn't detering people from riding bikes".
The main reason a helmet is such a problem is just convenience. A bike, like a car, I can just lock up wherever I go. The helmet I would have to carry around with me all day. That makes whole day just slightly more inconvenient, and it's honestly just not worth it to me.
The second is that wearing a helmet makes me feel substantially less safe. There are two direct reasons that I can articulate for this, but I'm not sure they fully explain the effect. There are also statistics that support me, showing that wearing a helmet is correlated with a increase in collisions.
The first reason is wearing a helmet substantialy impedes my hearing. This is probably a bit foreign to people who are use to driving, but hearing is incredibly useful for knowing when a car/truck/bus/etc is coming up behind me. A helmet increases wind noises to the point where the signal is much less useful, I'm not confident I will always hear a car in time to react with one on, and I'm worse at pinpointing the location. Incidentally I find the lack of sound when driving fairly disturbing and scary, since I'm so used to being able to use it.
The second is that the extra weight on my head seems to make looking around take more psychological effort, so I end up doing it best, so I end up having less awarness of cars around me. This is a rather surprising (to me) effect, but I'm certain it's real. Of course it's not the end of the world because I do still make substantial effort to look around, it's just epsilon less often which makes me epsilon less safe.