Yes, exactly. I think to be a good developer, you have to be willing to keep learning. And to be a good developer in a team context, you have to be willing to learn from your teammates, ask for help, and share knowledge in a way that's supportive, not prideful.
And I agree with your PM friend; I think willingness to admit ignorance is even more valuable there.
I had a PM friend who would try to push the bounds of a candidate's knowledge until they gave up and said "I don't know". The actual knowledge wasn't the point of the question: it was that they could say "I don't know", because PMs who can't tend to make life miserable for the engineers & other teammates who work with them.