I am not sure exactly what people miss, but taking a stab in the dark - human emotions have evolved over millions of years to try and guide people in the direction of making rational decisions more often than not. The expected situation is that the rational option and the emotional option align. If they don't, that means:

1. Your model of the world is incomplete or inconsistent (eg, forgetting to include negotiation as a strategy, forgetting long term consequences).

2. You've hit on a cognitive bias and can probably do a huge amount of good that other people will miss (eg, lending with interest -> modern industrial society, rule of law rather than letting high status people do whatever -> mass prosperity). The cognitive bias is probably well known and understood and the evidence that the emotional response leads to poor outcomes should be obvious.