Hobbits the chosen people

[the phantom]

I thought the theory posited suggested exactly that reactionary creation.

Well, I guess only Morsul can say what the precise thought was. But no matter what Morsul's answer is, it is my belief that even if hobbits were made specifically to counter Sauron's Ring after the Ring was created, which would certainly seem to be "reactionary" creation, we cannot call any creation of Eru's reactionary as that implies an inability to perceive all things at once.