Yes we are. Completely bonkers usually. Mad as hatters on our good days.
It’s nice that you acknowledge it.
Sadly, the Catholic Monarch never worked - well, Isabel of Spain was probably about the only one who even came close - even though the idea of a ruler informed by Catholicism is not a bad idea. However, even a “Catholic Monarch” is not a representative of a theocracy, but simply a monarch who subscribes to Catholic principles. Such monarchs are pretty thin on the ground, though, and I don’t think you can build a political theory on their existence.