Yeah.
Just imagine a scene like in Tortuga!
http://www.youtube.com/watch?v=wleuoOxZg-A&feature=related
:thumbsup:

Bethesda would need to make sure that all the smokers in the bars go outside to do so, just to keep it in touch with the real world. My fragile mind wouldn't be able to comprehend the exposure to such lavish activities, and it would most likely spur me to go smoke inside bars in real life too, cause obviously I won't be able to separate a computer game from the real world.

God bless the sensory rating system.

EDIT: Sorry, sarcasm was applied. I was fired up from the 'Kids in Skyrim' discussion.

If there's smokable tobacco. On a serious note. Don't recall if there was any in Oblivion.
Smoking would be as fun as being drunk or being high on skooma. Although a mere gimmick and not of much importance.

Yea they havn't had tavern music (sans mod) since Daggerfall and I do agree it would be a nice touch. They should have a traveling band that plays in different inns throughout the month and their could be a quest where you have defend their broken wagons from bandits until they repair it.