it can be, but it sets you up to learn for the wrong motivation. it would be better for students to learn to push themselves for their own sake and not for sake of competing with others.

it also will hurt them in the long run at work. while in many companies employees do compete, these kind of workplaces are always toxic and not a good place to work at.

in a good workplace people cooperate, and that is something they need to learn in school.