Does reading fiction make us better people?
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On the other hand, so many kinds of error can be distilled down to a failure to understand the difference several orders of magnitude make, so I wouldn't blame fiction per se.
Does reading fiction guarantee that a person will not do bad things? Do we require reading fiction to be good people? Of course not.
I always thought unequivocally yes, but then you have the cases of Martin Heidegger, Gunter Grass, and Milan Kundera.
For Heidegger, he was in his 40s and 50s during the Nazi regime. Also, I would recommend reading up on what he did to Husserl. A book that goes into detail about Heidegger's actions during World War II is here [1].
[1] https://en.wikipedia.org/wiki/At_the_Existentialist_Cafe
You sound like SOCRATES on virtues: