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Basically if this is to be a representation of TES at all the rule is as follows... If there is an NPC it at least should have a home and go sleep in it. I could care less if that means I have to break into their house in the middle of the night just to update my current quest, risking life and limb (and fines) so that I can continue my random wandering conquest. NPC routines are a major aspect of TES and they go a long way toward making the world feel alive.
Would anyone else feel as bad about the inclusion of static NPCs? How many others have seen an NPC in an MMO and could not see it as anything other than an NPC/quest hub because all it did, despite the weather, seriousness of situation, or time of day, was stand there like an erect quadriplegic whose only functions were to blink, aimlessly swing their arms, and pop up bits of information for you to read. Possible run-on sentences aside, I hate static NPCs. They screw with possibly the most important piece of the puzzle in creating a world fit for immersion.