Your collage is not only really funny and unique, the idea is also very ingenious.
It fascinated me, as your collages often do.
But what's more, the education part was very interessting and a joy to read, too.
Well, if one get too analytical about magic, one will only raise more theories and questions.
We always ask ourselves these questions about what really exists with the help of our limited view of reality. Until we still have to clarify why existence exists, we cannot define what ever exists. Behind this unknown fact probably lies the answer about what really can exist.
But it is also a fact that we humans perceive reality subjectively. This subjective perception is based on collective evaluations, which ist also culturally influenced.
If one society assumes the existence of elves as possible, why should this assumption be less correct than the assumption of another society which denies the existence of elves?
There is a story that tells how native americans were initially unable to see the ships of Columbus and his crew when they anchored offshore in the distance. Because these ships were completely different from anything they had seen before. It was only after the shaman had looked out for a long time because he had noticed the movement of the water that he could finally see them. After pointing this out to the others of his tribe, they could see the ships too.
According to Malinowski's theory of magic, the Trobriand Islanders resort to superstition and belief when the certainty of empirical explanation eludes.
If this made the Trobriand tribe survive to this day, their magic and their spiritual enlightenment must be great! :-)