2.Society ( similar to SMAC's Social Engineering model proposals)
In Civ3 each new government type is either clearly superior in every way (republic, democracy) to your current gov type or clearly inferior/pointless (monarchy, communism) due to the chaos penalty for switching. No matter what strategy you are using you always choose the same governments; delaying 4 turns for a wonder race is about the only thing you have to think about.
Is there a country that does not claim it's government is not a democracy? Even dictators have elections, they just limit who can vote (through disenfranchisement or intimidation) or the power of the elected assembly or who can run for office. Why not just have sliders/check boxes for power held by various branches of government, who can/cannot vote, level of state oppression/control (police/military), etc., etc., etc.
If you want to be a malevolent dictator or benevolent despot in modern times that is your choice.
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