I know, just look at Fable 2, what a ripoff of Fallout.
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Can the NPC's be scripted with needs somehow that dictate what they doing at any given time, instead of schedules? Like give NPC's two or three needs that are randomly determined at any given time and ranked from highest to lowest, and the NPC than goes about fulfilling those needs? Like say a commoner finds itself with Hunger, Sleep and Social needs in that order, he would get something to eat, than go find a bed and than walk around talking with other? And certain NPC's could have more specific needs (Hunter have the "stalk" need, peasants with "beg" etc). I don't know, just riffing here...
I think That_One_Guy has written something about that a while ago, if someone could link back to that. Scripted behaviours are very well possible, i would love that. But they require some work to function without bugging up, as it happened in early versions of oblivion. I think they should still be somewhat tied to a hidden schedule in the background in case something does not work right.
EDIT: http://www.gamesas.com/bgsforums/index.php?s=&showtopic=1048173&view=findpost&p=15217244