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What penalties do they get ?
In this mod
If your country is too small 1~3 provinces only, the Dynamic Development Mod firing event will be slower for each province that you own. Around 150%~25% slower. This is for game balance, because smaller countries have fewer provinces to invest and normaly have a larger development on end game because of this.
About the terrains, provinces on Glacier, Deserts, Mountains, Jungles and Coastal Deserts are slower to for the DDM to fire while Farmlands, Grasslands and Drylands are faster.