On the other hand, the two hour travel time from x to y made complete sense. . . doing a journey from one city to another in 30 game minutes would be BIZARRE.
To expand on this:
Based on the http://www.imperial-library.info/sites/default/files/gallery_files/minibigmaproadslore31gv.jpg, Skyrim's size measures roughly 250 miles North to South, and more than twice that from East to West (averaging roughly 600 miles wide). [Based on my own measurements.]
This is one of the main reasons why the default Timescale is 30:1 . . . . so that it takes like 1 or 2 game hours to walk from one city to the next. [With a 1:1 Timescale, you could cover the distance in a couple of minutes.]
Morrowind and Oblivion never felt realistically large enough for me . . . even for a fantasy game world. To keep a game world interesting (and perhaps doable for the game designer), it needs to be scaled down a bunch, but turning a 250 x 600 mile land mass into a 4 x 4 land mass is way too much of a reduction.
If you reduced the land mass by a factor of 30 (to match the default Timescale), you would end up with roughly an 8 x 20 mile game map . . . which is 10 times larger than what we will be getting [4*4=16; 8*20=160 square miles]. Then we would actually have the "huge open game world" that Bethesda has been saying that Skyrim is. Personally a 4 x 4 mile game world is not what I would consider to be "huge." Skyrim is going to be pretty much the exact size of Oblivion . . . yet Skyrim has 8 different regions . . . so each region is going to average only 2 square miles . . . 2 square miles of tundra is hardly a "huge area."
An 8*20 (160 square miles) game world would actually feel huge. And I wouldn't even mind if it had to be broken up into the 8 different regions (with loading screens when you went from one region to another, which would also allow for Xbox DVD swaps). Then you could add cities that were much larger along with a LOT more NPC's. Imagine Oblivion times 10 (10 times greater land mass, 10 times larger cities, and 10 times more NPCs).
What was the Timescale in Daggerfall?
From the http://www.imperial-library.info/sites/default/files/gallery_files/minibigmaproadslore31gv.jpg: "Starting off in Daggerfall can overwhelm the senses. No other game has such a huge world to explore. Travel around a land mass twice the size of Great Britain . . ."
For me, a 30 Timescale is way too fast . . . I don't like the way it makes the days race by [24 game hours = 48 real minutes], so I generally set mine at 8 [24 game hours = 3 real hours].