I disagree with your last point slightly in that I'd say that stories can be classified into two (fuzzy) categories - those that tell us how the world is, and those that tell us how it ought to be. All this stuff about Good and Evil is more relevant to "ought" than "is", but "is" can still be entertaining and valuable.

edit: So as not to overemphasize the disagreement I'll mention that I liked the rest of the post.