Thank you for making this point. If an albino woman had been cast as Snow White, that would have been perfect, because then she actually would have "skin white as snow". And she wouldn't need to waste time putting on a lot of white skin makeup during filming (nor would they need to use Photoshop on every frame she's in). All she needs to do to begin a day of filming is put her dress on and comb her hair.
The same goes for the dwarves. If MGM could find midgets for The Wizard of Oz in 1939, why couldn't Disney find midgets for Snow White in 2025?
If Disney had taken your advice, their live-action version of Snow White would have crossed the $100 million barrier by now. And if the seven dwarves were real, there would be more live-action in their live-action movie.
Here's something I made that you might like:
imgflip.com/i/9ofyrx