I tried to edit to add another paragraph and lost the whole thing!
I wanted to add that the element position has more to do with hot water rising (element loop should not face down) and especially, the element cannot touch any metal engine parts. That's why there are dozens of element shapes-to clear internal engine parts.
I still stand by the "full on or full off" part of my previous post. If there is added resistance when the water gets hot, a clamp-on ammeter on one of the supply legs would indicate less amps.
And if that were the case, an electric water heater wouldn't need a thermostat-just design the element to kick out at 130 degrees. They don't. When the thermostat fails "ON", the water gets so hot the pressure relief valve starts to emit steam.
Now, the block heater will never get so hot as to boil, because the heater is probably 800 watts or so for a big one. (I was shop foreman for a trucking company and we used 1500 watt heaters in our 855 CID Cummins. In Wisconsin).
The element in a very well insulated water heater tank is 4500 watts, if I remember correctly. Not much heat escapes, so the water heater boils if not shut off by the thermostat or the increasing resistance of a heated element.
The blocks on our tractors loose heat much faster, so fast that it's doubtful if the exterior of the block gets warmer than 100 degrees, more than a few inches from the location of the heater. But even 80 degrees around the cylinders equates to a warm summer day, when my tractor starts very well without heat.