Has the question been asked to compare the government type to other governments that are around? Fontan is a democratic realm, while still adhering to the principles of feudalism, the distribution of power (and therefore wealth) is more evenly divided among lords and nobles. If one link in the chain is weak, we try our best to see that it becomes strong.
So when you say 'numbers that other realms have a hard time managing' you might consider also that most realms are also not democracies. While that's obviously not the only reason, it may be enough of one that it's causing unnecessary suspicion.
