I think you are radically overstating how obvious some of these things are.
What you call "just threw the VAE in there using the default options from the original VAE paper" is what another person might call "used a proven reference implementation, with the settings recommended by its creator"
Sure, there are design flaws with SD1.0 which feel obvious today - they've published SDXL and having read the paper, I wouldn't even consider going about such a project without "Conditioning the Model on Cropping Parameters". But the truth is this stuff is only obvious to me because someone else figured it out and told me.