Analysis of Development of State Organization based on Paradox Games

Society grows and becomes more complex and nuanced. These games do represent that:

In Middle Ages (CK3 era) a handful of dudes was all you need to run a country. Countries themselves were little more than glorified investment real estate. Even parliaments of that era we called Estates General. An assembly of all investment property holders. It was a personalist era and game reflect that.

Society got more complex in Early Modern Period (Renaissance and Enlightenment; EU IV era). Trade became big deal; societies became more complex. Just a handful of dudes, as it was in Middle Ages, will no longer suffice to manage it all. Select social groups became essential to running a state. With that they gain influence and say on matters of the state, and ruler had to manage them. Suddenly you needed a whole new organization just to manage all that, thus states were created to manage countries.

Finally in 19th century these management organizations, became nations that we know them now. People became self-conscious and stated demand more from the government. Suddenly every demographic matter and every person is self-conscious enough to participate in politics. States evolved into democracies; modern politics were born out of this change in society. Hence Victoria has the most complex economic system.

HoI is WWII simulator so politics and other things are simplified.