I've been acting out "Goldilocks and the Three Bears" for about 3 weeks now. Now that Abbi is back home with Mom and Dad, I kinda miss being called "Momma Bear." It was a great, imaginative time. And believe it or not, we solved the problem with that "Goldiocks" girl by having "Papa Bear" build an extra bedroom onto the house and invited her to stay.
It is great to see such wonderful imagination in an almost 4 year old.
To encourage this imagination try "telling" stories instead of reading them. As you tell the story over and over again (I hope they are asking for it over and over again) add some new embelishments, change the story a bit, or leave something out and let them "catch" you. Adding sound effects and funny voices is fun too. After a while the story will be familiar enough for the child to participate more and more. Play along with any changes or additions they make. Encourage imagination. You might even want to write some of these down for scrapbooking or to share a memory and laughing together when they get older.
links to "Goldilocks and the Three Bears" story