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Lower is always better.
There are a lot of factors in play.
Not only is your own network + ISP/internet quality & speed important, but the routes between you and your server.
50 millisecond ping or less is great. It's not necessarily average, most people playing a good server on a typical residential cable connection will be anywhere between 30 to 100 depending on various factors. You don't have anything to really be concerned about if you're under 100, but the lower you can get it, the better. Using a wired connection, and minimizing/removing additional traffic on your connection are obvious ways of improving it.
SOME games, will look like they're showing signs of low FPS when experiencing high latency or lag (btw, people who call low FPS "lag" are incorrectly using the term, it's historically referred to network transmission) but the computer is still processing the data it's receiving as fast as it can, it merely isn't receiving the data fast enough. Sometimes it can get bad enough to cause complete de-synchronization and other nastiness.
It's reasonable to expect that servers located in geography far away or extremely close to you will affect your pings, though it's not impossible to find a server with a better ping elsewhere in the world if you've got an unlucky bad route to a server in the same country or other issues that are out of your control. But generally speaking, if you're in the USA, you're going to have more luck with a server located in california than a server located in Zimbabwe. You should set your max ping range to 50 in game.
50 or below: Great
51-110: Reasonable/Average
110-160: Ok
161-200: Questionable
201-250: Bad
251-300: Very Bad
301+: Completely unplayable
You'll have a harder time playing games that require precision with higher pings. You have to think about what those ping times actually mean.. 200 milliseconds for communications to go back and forth between you and the game server might not seem like much, but maybe if your shot landed a split second sooner, you would have hit that guy that's been camping you all game in the head!