What is the term for the tendency to explain our own actions by external factors while explaining the actions of others by internal factors?

The term "actor-observer bias" accurately describes the tendency to attribute one’s own actions to external factors—such as situational influences—while attributing the actions of others to internal characteristics, such as personality traits. This bias reflects the way individuals perceive their own behavior differently than they perceive the behavior of others.

For instance, if someone makes a mistake at work, they might attribute it to the pressures of a tight deadline (an external factor), while they may see a colleague's similar mistake as a sign of poor organization or lack of skill (an internal factor). This distinction often arises because individuals have more insight into their own circumstances and situational pressures than they do into others’ circumstances, leading to this bias in judgment and explanation.

The other terms listed do not align with this specific attributional error. Dispositional attribution refers to the practice of attributing behavior to internal factors without considering situational influences. Confirmation bias involves favoring information that confirms existing beliefs rather than changing one's perspective based on new evidence. Cognitive dissonance pertains to the mental discomfort experienced when holding two contradictory beliefs or when behavior conflicts with beliefs. Therefore, actor-observer bias is the most fitting choice for this behavior.