In world gen, it simulates geology and erosion, climate/biomes, growing civilizations, politics, war, trade, attacks by various "megabeast" creatures and their battles (in which injuries down to losing a tooth will be kept track of), migration and refuges as a result of war, (I believe) deforestation as a result of logging, and probably a lot more that I'm forgetting. That's just in world generation, before you're actually playing it.
Remember, what one person can program when they're truly dedicated is a pretty incredible feat.