I think you are 1) applying a different age's mental model onto a much younger one and 2) describing a much stronger deception than what actually exists here.

I think you are 1) applying a different age's mental model onto a much younger one and 2) describing a much stronger deception than what actually exists here. People anthropomorphism objects all the time. Kids do it even more than adults. This action isn't going to cause psychological damage and, if it does, it is only because it existed already from something much more serious.