I have turbo booster installed on my old macbook pro which I currently use to handle files between my iMac Pro and the macbook. The macbook has a base clock of 1.4 Ghz turbo boost upto 2.3 Ghz. On enabling turbo bosster (Third Party application) the system continues to run at 2.3 Ghz as a result everything is fast enough to run, but on running the CPU at its maximum level results in thermal throttling. Turbo Boosters are normally used to check thermal throtlling and I am using it to boost the clock speed so am I doing something wrong or damaging the CPU and other hardware componenets by running the CPU at its max level?
No, using Turbo Boost will not damage your CPU or any other hardware components.
You seem to be confused about how Turbo Boost actually works. When you install a third-party application to disable/enable the Turbo Boost feature, you're not actually enabling the boosting of the CPU. Instead you're enabling the feature where the CPU decides by itself when and if to boost.
So in essence: You're not really turbo boosting all the time, and the CPU will by itself make sure to only turbo boost when it is safe to do so.
The rationale behind the third party applications is mainly to disable Turbo Boost for those that prefer increased battery time over performance.