I think it is mostly about ego. In my country, lawsuits stemming from errors are very rare, but people would still die on random (mole)hills rather than admitting they were wrong. I am myself very unhappy when someone points out a mistake in my texts, only in last 5 years or so I have learnt to be more relaxed about it.

You see this a lot in corporate land. Never admit a mistake because it is a liability when you're getting sued. You often see corporations offering compensation for something they did wrong while at the same time explicitly not admitting fault.

Even at the individual level you'll see advice like "never talk to the cops" because it could possibly be used against you in the future.

> Perhaps this has to do with lawsuits.

This happens even in work environments where it's unlikely your coworkers will sue you. I feel like perhaps it's more about competitiveness - I've seen plenty of times people raised in US use any kind of admission of mistake as a bludgeon to get advantage, get more political capital or belittle someone elses project. I guess it's considered to be a good thing to grasp any advantage over others?

You might be right. There has been laws passed that make it clear use of the word "I'm sorry" does not convey guilt. [0]

[0.] https://www.scmedicalmalpractice.com/blog/2015/08/does-sayin...

Partly, but when I posited that, some time ago, it drew a fair bit of ire.

It's also something emotional. I grew up overseas, so I guess it never happened for me, so I sort of stand to the side, bemused.

I doubt it. It's a cultural thing, and probably partly a manifestation of individualism.