After some traveling around on the Internet for a while, I've come to one conclusion on Video Game Difficulties. Difficulty should determine enemy intelligence, not firepower or health (but a little stat increase, maybe 1.5x doesn't hurt either). But is there such a thing as too much enemy intelligence? How many settings should there be, what should they be called and what are some examples for those levels?
Indulge me, Forumites.
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In an ideal world that would be the case. Practically speaking though, there's a reason why we don't see this more often. It's no simple task.