I'm going to try out DF-MONST.EXE editor. Has anyone experience using it? It looks like it lets you scale their hitpoints & defense abilities in % terms but it doesn't explicitly state what the scale is other than '0' resets it to original.

Other things that would make the game better are
1) increasing monster attack rate,
2) increasing the # of creatures spawned,
3) and improved AI.
4) boss mobs

The first two I think could be possible somehow, but the 3rd & 4th probably not.

actually all they need is improved path-finding, not necessarily AI unless that counts. but i'm sure they move according to some much more simple mechanism than pathfinding.

an example of how bad it is, I was in a dungeon where i went into one of those rooms with the multi-arm-shiva-like statue with the 7 or 8 doors surrounding, and behind each door was a frost daedra, but besides one or two that had a plain line of sight, the rest got caught up on the doorways when i clicked on the statue, so what could have been a good fight turned lame

I had fewer problems with enemies getting stuck in doors when I played on a much older and slower computer. Yes, it did happen, but it seems that faster machines try to implement the game's approach/attack routines in an even less forgiving way than the older machines. This seems to be one of many problems with running DF on modern computers. Which is why I am hoping to find a cheap WIN95 or 98 machine once people start having some yard-sales this spring. Until then I am bereft of actually being able to play DF.

If two floors are connected via a lift, and you are fighting an enemy on the second floor with the lift on the first floor, knocking them down the shaft tends to send 'em hurtling into the void.

Not necessarily tied in with AI, but yeah, Daggerfall enemies have their little quirks.

Jammer1 - That "8 door room with one enemy behind each door" cell is quite common. Agreed, upon entering you will be lucky if 2 of them come out ASAP.