My new theory is that Princess Celestia never does anything worthwhile because she’s actively trying to get fired/impeached/deposed from the throne. She doesn’t want to just quit but she hates being in charge. So she’s passively aggressively trying to be the worse ruler ever, but without hurting anyone. One thousand years of her suggesting crazy out-there utopian policies and when disaster happens she does the bare minimum to save the kingdom. The ponies of Equestria just love her so much that they do their best to carry out her crazy insane utopian policies and have put together the chessmaster Celestia myth to explain how she never does anything but disasters get fixed.