Yes, and to a degree, confirmed. Bandits are only within certain levels, you don't get a tougher fire dragon, you get a frost dragon instead, and at higher character levels, where one would normally spawn there are now two, still lower level, wolves.
Well, if we temper these systems with dynamic group sizes, that actually might work a little better. At higher levels, you might only still deal with Level 5 wolves, but you may find larger wolfpacks of them. as well.