Not all character development is positive. Characters can, and in my opinion, should, develop both negative and positive traits throughout the course of their story. As the story goes, they shouldn’t be perfected, they’re people, not artpieces, and so there shouldn’t be a stage where they’ve improved/changed exclusively for the better, to the point where they have no negative traits at all.
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i feel like this is one of the reasons that zukos character arc is good because he does go through negative parts and it serves to make him better when he overcomes it