"Games like Morrowind and Gothic didn't have physics" neither they had AI routine, and thus they failed to meet the same standards you are setting for Avowed.
I've said it before in this thread: the problem with Avowed is that it lacks
any reactivity features, not just that it lacks
one specific reactivity feature.
If it had NPCs reacting but no clutter physics, that could be excused. But it has nothing. Nothing and nobody reacts to anything at all.
Again, you conveniently set up some threshold of minimum acceptable reactivity and I'm curious about how you established what level of reactivity and interactivity are enough to pass you criteria.
Not only those are some of my favourite RPGs, but they are all consistently in the top ranking of RPG Codex, yet you
- can't kill or attack neutral NPCs without a scripted interaction that causes hostility.
- can't steal, or better there's no reaction to the player stealing.
- you can't take, drag, drop or move stuff around in any of those.
The idea that Avowed is shit because it doesn't match your oddly specific yet not actually defined requirements of what constitutes as developers giving a shit about the game they are making is laughable.
It's a retard farming negative engagement by baiting a crowd of retards into dogpiling on flavour of the month because none of them gives a shit in the first place and Youtube incentivizes low effort content.