Shame and guilt often go hand in hand, which is why they are often confused. For instance, when we injure someone, we often feel bad about having done so (guilt), and, at the same time, feel bad about ourselves (shame). Yet, guilt and shame are distinct emotions. Shame is egodystonic, that is, in conflict with our self-image and the needs and goals of our ego, and high levels of shame are correlated with poor psychological functioning. In particular, eating disorders and many sexual disorders can largely be understood as disorders of shame, as can narcissism, which is sometimes thought of as a defence against shame. Guilt on the other hand is egosyntonic, that is, consistent with our self-image and the needs and goals of our ego, and, unless left to fester, is either unrelated or inversely correlated with poor psychological functioning. Faced with the same set of circumstances, people with high self-esteem are more prone to guilt than to shame, and more likely to take corrective or redemptive action.
Adapted from Heaven and Hell: The Psychology of the Emotions