that i probably agree with...
http://www.elderscrolls.com/forums/index.php?showtopic=293952
The basic point of this post is that exploration is not rewarded. Leveling simply makes the enemies more powerful. Items dropped are never significantly better than you'd expect, or (once you reach a certain point in the game) better than the stuff you already ahve. You can explore for the sake of exploration, but that's it.
There's no doubt that exploration is rewarded a LITTLE. At a bare minimum, you'll get some gold from the random stuff you sell.
But it's not rewarded much. The two best rpgs of all time -- BGII and Wizardry VIII -- both had WOW! moments where you ran into some uber powerful enemy, who you KNEW was guarding some ridiculously powerful weapon. (Firkraag and Carsomyr in BGII, Sorceress Queen and Fang in W8) When you finally beat that enemy, and got that item, the sense of accomplishment was IMMENSE.
Unfortunately, due to the loot drop (and enemy level scaling) system, there's no sense of awe or accomplishment in Oblivion. You can wander around if you just like the sights, or if you like exploring for it's own sake. But exploring and fighting enemies doesn't make you significantly more or less powerful. it makes you about as powerful as someone your level should expect to be.
I suppose bethesda wnated to make it so that you could literally go anywhere and do anything at any time, and be fine as far as level/loot. But that's not very fun, and it doesn't make much sense.
Personally, the gothic system (where you literally get smashed by everything above a rat, and wandering off the roads is a surefire way to get yourslef killed) is much more fun to me. But apparently only the "hardcore" european market can sustain such games nowadays. Everything in the US, and for the console market, has to be watered down.
Thoughts?