Nope, doesn't make sense. Sounds like a load of horse shit (sorry if that's offensive).
God is suppose to be all powerful, why doesn't have just take satan down. What you seem to be getting at, Radninja, is a debate over fate. I don't believe in it. Things happen because of decisions you make and your actions, nothing is planned out ahead of time (my beliefs).
Secondly, why doe you say the world needs chaos? Wouldn't the world be a great place if no one was getting raped, murdered, and tortured daily. I don't see why these things are necessary to have good in the world, and why an all powerful, all knowing, and well meaning god would let this happen.