Dunno what paprika (current sense of the spice) has to do with chili, but pdq's explanation of the Hungarian usage is interesting.

Much paprika in the U. S. is rooted in the Spanish variety (I think the Hungarian is most flavorful).

The best chili? A good southwestern red or green chili pepper (such as New Mexico Hatch or Chimayo heirloom), with other spices and a good meat, slowly cooked. Beans either included (Chili con frijoles), or separately prepared.
Perhaps some root vegetables with the beans.

Exact recipe to your taste and not anyone else's.