I don’t know if it’s the game engine. Or if Anet can do more to make the NPC’s actual feel like they have lives.
As it is now, NPC’s don’t do very much in this game. Some have scripts that repeat, but that’s it. There is little artificial intelligence for NPC. So it does not look like the NPC’s are performing everyday tasks.
Surly Anet can make more scripts for NPC’s and tie them together with better artificial intelligence.