All of the above is relevant.
psychopaths literally have different brains and are not capable of understanding others in the way that most people can. Not all psychopaths are bad people, they can be functioning members of society, but the majority of serial killers are psychopaths.
Being able to feel what another person is feeling is a super power for insight. Not processing those feelings and using those feelings to inform rather than lead a decision is an error that can lead to lots of problems.