Physics people, physics.
How fast you're travelling is mostly irrelevant, what matters is how hard your head hits the deck. The street surface is perpendicular to your velocity, so your head generally receives an impact no harder than if you had just fallen over while stationary. This betrays the real problem - the average impact speed of a motorcycle head injury is only very slightly higher than that of a cyclist, mainly due to the extra mass.
We know that motorcycle helmets work very effectively. They are markedly superior to cycle helmets in two main respects - they have much thicker EPS foam and so can absorb much more energy, and the smooth round shape of a motorcycle helmet reduces torsional forces on the head and neck, which can be just as lethal as impacts.
The problem cycle helmets have is in providing sufficient protection while still being acceptable to consumers. There is nothing stopping manufacturers from producing cycle helmets that vastly exceed mandatory or voluntary standards (Downhill-specific helmets do) but most cyclists are simply unwilling to wear a large, heavy helmet.
Personally, I think the actuarial data leads to an obvious conclusion - we should do whatever maximises the number of cyclists. The risk of being killed or injured while cycling is completely outweighed by the health benefits of physical fitness. In addition, a number of studies indicate that "safety in numbers" is the most important factor in cycle safety - the more riders on the road, the better other road users become at accommodating them.