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RE: Reputation Matters, Even for Children
The good thing about having a good reputation is, when a person we think is good and has a good reputation, is wrong or makes a mistake, our natural tendency is to justify it, forgive it, because we understand that behavior that does not suit the image we have of her, good reputation wins. And the same happens when someone has a bad reputation: their bad actions will only confirm the perception we already have of that person.
Yup, mistakes made in the past and get a bad rep, but do good and it still doesn't change how some people see the person, and the reverse like you say.