Is competitive equilibrium a good thing or bad thing for an economy? Give reasons for your answer

In general, a competitive equilibrium is considered the best outcome for society as a whole because this outcome results in the highest possible production level. The resulting social surplus (the sum of consumer surplus and producer surplus) is maximized at this output level. In other words, a competitive equilibrium gives the highest level of production by the lowest level of cost. Also, in competitive equilibrium, the economy achieves the optimal allocation of resources. Any other output level other than the equilibrium output will result in a lower amount of total surplus, causing deadweight loss. Indeed, in perfect competition equilibrium, the economy experiences the efficiency in production, efficiency in consumption, and also simultaneous efficiency in production and consumption.