The second one is not true. Utopia of happiness would result in vast stagnation.
Agitation, annoyance, something needing fixed, imperfection, desire for more / self-improvement, etc. is a critical root of invention and creativity.
Ideally not everyone is perfectly happy all at the same time. And it should be noted that is not the same as saying that everyone should never be happy. Rather, that it's incredibly valuable to have dissatisfied people in society - they're often the ones that break with the status quo and push humanity forward.
The standard argument for socialism follows from the same reductio: what if everyone was happy? That would be GREAT for business.