This sort of automated policing forces people to live in fear. Having to live by the letter of the law makes society paranoid, and that's distinctly unhealthy. It makes it very easy for a corrupt government to extend their control over the people too. And lastly, everyone breaks the law in minor ways. You might speed in your car by a couple of mph, or jaywalk once in the wrong place, or drop some litter in a controlled area. Just imagine living in the knowledge that a mistake like that will be caught, and you will be arrested for it (and maybe lose your job and livelihood because of that). This is definitely a bad thing.
Honest question as the first is just a capacity problem and the second (I guess) a moral argument.
Sometimes the rules are not just. Perhaps you like Falun Gong. Perhaps you're a member of a disliked race/religion/hair color/etc.
In addition to making it much harder to avoid getting caught without going full Ann Frank, this makes it much harder for individuals who recognize that the law is unjust and are in a position to let it slide actually let it slide. After all, the cameras will get you eventually.
The bad here is scope creep of the surveillance network, particularly in a totalitarian regime. But once you've acquiesced to the "good" parts of it, you will rationalize the bad parts unless you think critically.
Word had passed that there was a small Rx drug ring in the barracks. Why search only the accused rooms when you can search the entirety of the barracks all at once. I didn't have any contraband in my room. I don't think I ever had any contraband. Did that matter? Nope.
Sometime between 5 and 6 AM, we were all made to unlock all of our drawers and cabinets, exit our rooms immediately, and wait. If you didn't unlock something, they'd cut the locks with bolt cutters. You'd return to a room that was absolutely ransacked. Seriously - it looked like a thief was quickly sprinting from room to room tossing everything in sight while hoping to find a hidden stash of jewels.
Sounds a bit far-fetched for the general public right? Hardly! This is the same thing as a summary no-knock warrant.
So long as you're laying low enough to not draw any attention, it seems like in many cases this would be a better thing than the cost of the criminal justice system and incarceration, plus the way incarceration seems to ruin any life that had any value beforehand.
This isn't to say that this option should be encouraged, or even allowed to work a lot of the time. But the fact that there's some flexibility there, keeping the system from complete bureaucratic ossification, has some value to society.
No. No one goes a day without breaking, at least, a minor law, especially in places where many laws are straight up crazy. Perfect surveillance, the power to make up laws, and the power to enforce them is too much for any one entity to have.