Looks like the time vs turn thing has turned into a big firestorm.
The biggest thing I wondered about was when Stanley mentioned that he might not have time to make it to the throne room to change the capital to Spacerock to save Parson. It could just be that he was trying to talk himself out of it, but it made me think if it actually mattered if he went through all that fancy stuff, or just took a leasurly stroll, stopped for a sandwich, had a quick nap, and then changed the capital side. After all, it was stated quite plainly that time flowed differently in different hexes.... but also stated that time was consistently 'one-thousand-one' makes a second, and those add up to a day. So since Stanley isn't in the same hex as Parson, wouldn't time flow differently? And since order is what matters, wouldn't it only matter that Stanley intended to change the capital before Parson was croaked? We don't really have an answer to this, though maybe the fact that he just barely made it in time indicates that yes indeed, because he wanted to change the capital before parson croaked, he managed to make it before Parson croaked.
As for the overall question of turns being limited by time, I kind of feel that it is limited by time, based mostly on the fact that a second is a defined amount of time, and that so many seconds add up to a day, and it is NEVER anyone's turn at night. That said though, it is important to remember that time isn't the same in every hex. The only time that time seems to be consistent, is when it is night. A unit moving through hexes and scouting gets more hours in a day (more 'one-thousand-one's) because they are moving to new hexes, and thus time is not consistent between the hexes, in exactly the same way that someone moving at nearly the speed of light gets fewer hours in a day, and thus time is not consistent between the person moving and people staying still. Basically every time you change hexes, your count for the seconds in a day gets messed up, especially if you go back to a hex with another unit in it (which most scouts do to report their findings).
So, if there is a time limit on a turn, how does that work with sides in battlespace? Well, since time flows differently in different hexes, a side can get a full turn of ~16 hours, and it could seem like only a few minutes had passed to the other side, who could then get their full ~16 hours as well in the last few minutes of the first side's turn.
So why don't erfworlders have clocks? Well, the same reason the Native Americans didn't have clocks: They didn't need them. The sun told them when it was time to eat, when it was midday, when it was almost time to sleep, etc. Also, they may lack the technology. While a caster likely could make a clock, there really wouldn't be much reason to, so no one has bothered. I mean, there are tons of things we have the technology, the basic ability to make, but don't because there is no reason for us to. After all, they have roughly 16 hours to decide everything they want to do, with most sides being no bigger than a dozen or so cities, who really needs to measure every one of those seconds to make sure they wrap everything up in time?
Also, consider old FAQ for a moment. Many people in favor of unlimited time have pointed out that you would eventually run out of move, juice, hp, etc. and thus be forced to end turn simply to replenish those things. But old FAQ didn't care about these things. They wanted to be a bubble kingdom, they wanted to simply sit around and debate things constantly, or think up therms, or whatever. 95% of their units never used their move, hp, or juice, and the other 5% only did in order to earn schmuckers for upkeep. But if old FAQ simply never ended turn, then no new turn would ever come, which would mean they wouldn't need the upkeep, which would mean they wouldn't need the 5% to earn schmuckers. So why would old FAQ ever end its turn?
And on the same lines as old FAQ is any side that is about to lose the fight entirely. If they know they are doomed, and it is only a matter of a few turns before they are wiped out, why would the ruler not simply never end turn and stall forever? Sure, they could never replenish move or anything, but they'd get to hang out in their capital and do whatever they wanted for forever.
Like Duty, it may be natural thinkamancy that a Ruler wants to see how things play out, even if they're quite sure they're going to lose? Or maybe like Duty, rulers are compelled to end turn when they really don't have any more moves to make, and can't readily think of another one? So maybe there isn't a time limit per say when a turn will simply end itself, but some natural thinkamancy along the lines of Duty prevents a ruler stalling out. It might also make them act slower or faster to do everything they want in the time allotted to them. Maybe Stanley, Slately, and more or less all the rulers we've seen so far seem a bit on the dim side because they have 16 hours in which to do everything they need, but only really have 1 hour worth of work, so they are forced to draw it out. Slately has to deal with his courtiers and various Noble things. Stanley has trouble coming up with strategies. Don has to deal with his Warlords and go through things with them, sort of like Slately with his courtier. Jillian on the other hand seems to remain sharp because she is spending all her time flying around and doing things, thus actually has 16 hours worth of stuff to do in 16 hours. Charlie too has a ton of stuff to do because he is interacting with so many people, so comes across as exceptionally quick witted. Stanley in particular even seems to notice this himself to some extent, complaining about how he used to be 'smarter' as it where before he became a Ruler.