After reading about the re-unification of the Egyptian political structure, I found that the link between the appearance of magical amulets throughout the social hierarchy with that of the government quite interesting. My first thought when reading about the magical pieces, such as the knives, was that everybody should have the capability of making these pieces since they were all artifacts that had some sort of deity carved into the blade. It is hard for me to imagine that any blade with a deity carved into it would be considered a magical item. For instance, holy water is not tap water that is called holy water; it is blessed by a priest. For that reason, I believe that these magical items were only magical if blessed by some magic man in ancient Egypt.
To address the situation of ancient Egyptians throughout all social classes having these magic pieces, it is important to look at the Pharaoh himself. The three dimensional scarab that was used as a seal and inevitably becoming a symbol of the Pharaoh. Since this scarab was found throughout the common-man, it is possible that the Pharaoh adopted the piece as his own since it was so recognized by his subjects. Another example between ancient Egypt and modern day would be that Twitter has been recently adopted by the President of the United States. I mention this because it shows that to connect better with your people, you need to have common ground. With a suffering political government in ancient Egypt, the Pharaoh and his viziers needed to connect with the people to show their presence in their everyday lives. This could have easily been accomplished by sending these magical amulets throughout the social hierarchy and letting the people establish commonality with their Pharaoh and hence allowing the bureaucracy to grow.
There are probably other interpretations as to why these magical items came into the possession of the people and why the government adopted specific seals such as the scarab. It is an obvious challenge that although there are many texts that describe the life in ancient Egypt, there is still plenty that is needed to be understood. The above post is only an opinion based on the way I feel the Egyptians related to their government. The fact that there are modern examples relating the current thought process of our government to the Pharaoh is just to show that although time has passed a great deal, the thought process of the human mind has not necessarily changed so much.