The user selected it, or Dolphin automatically selected it. What are the other 999,998? Magic selection faeries aren’t real, they can’t hurt you 
Yeh “there” as in “under your mouse cursor when you clicked”.
Software can’t be coded for “the user could click anywhere at any time. Ignore them, but only when they didn’t mean to click there”. How is Dolphin supposed to determine whether the user clicked there on purpose or just because they weren’t paying attention, or mistakenly thought it didn’t matter where they clicked?
And what about other stuff like say, delete, or rename? Should it just ignore whether you have a folder selected for that? (a rhetorical question for your thought experimentation)
That’s the one you selected.
How bout no. I have the view I have, because that’s the view I want. I can select a folder within that view and I should be able to perform operations on that selection. Just like how selection works everywhere, and how it works for other operations like delete and rename.
If you don’t want to create a folder within another folder, don’t click on that folder to instruct Dolphin to create a folder there.
The user can’t make the new folder their selection to express their intent to operate on it, before the folder exists.
When we discussed this earlier, the real deciding factor here was how hard it is to change to the other behaviour. If the folder is selected but you didn’t want it to be, you can go back to the view folder really easily with ‘esc’. But if the folder is not selected and you did want it to be, it might be a matter of navigating through some complex tree structure to get there.
I guess the problem is that pressing ‘esc’ won’t return to the original selection, if the original selection was not the view folder!
We could put the selection in the history, but that will mess with history as we know it and seems like it would be hard to code… We could focus the new folder but not select it, but that seems familiar 
I can’t imagine any good solution to this, and I agree with your logic of “the user said so, so do that”. I think that’s a good mechanic if all other concepts fail. It would be nice to think of a way to solve that problem though, to avoid a navigation problem for that “I created that folder to do stuff with it” use case.