High power factor is generally considered beneficial as it indicates efficient use of electrical power, with real power being maximized relative to apparent power. In purely resistive AC circuits, the power factor is typically high, but adding reactive loads can lower it, leading to increased losses and higher energy costs. A low power factor can negatively impact power distribution systems, causing inefficiencies. However, in specific contexts, such as evaluating insulation in devices like transformers, a high power factor may be undesirable. Understanding power factor is crucial for optimizing energy consumption and reducing costs.
