Iarwain, would there have been good without evil? I think not because people have nothing to compare good to they don't know what good is. And without evil everything can't join forces to do good. If Illuvatar has said to Melkor that everything will eventualt turn out fine and according to his plans, then yes Illuvatar wanted there to be evil.
And Illuvatar gave beings freedom of will. But freedom of will is useless if you have nothing to choose. If you choose good then you do not choose evil. Without evil there would be nothing to choose.
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