RPG progression is more than a table of numbers. It's clearly there, in the perks, skill ups, and equipment. I've already gotten several items and potions that affect things stats used to govern. It's all still there. It's just called different tings. If something would have affected cost before indirectly by fortifying a skill, now it simply has a modifier that does that directly instead. It's much the same system, so the so-called diluting is for the most part nothing but a new UI for the underlying mechanics.
A friend of mine is frustrated his character has bad aim with archery because in Oblivion he could aim perfectly at any level. This time, it seems the character's skill number seems to affect accuracy on top of the player's ability to aim. If your character is bad, your FPS skills can only compensate so much for it. Yet it's supposedly an action game? No.
Exactly. Like, for example, the bar brawls, which are clearly using a cleverly designed UI to hide the secret Unarmed, Strength, and Agility values, so that nobody has to get intimidated or bored by the numbers.
I do agree with your second point, though. There are some big improvements from Oblivion, and despite the fact that BGS is moving into action-RPG, hack and slash mechanics, I'm really enjoying Skyrim. I think they're focusing on their strength: providing a huge, living, open sandbox world. They've always had problems with the RPG side, and I think a lot of the interest in making RPGs drained out of the company after the Daggerfall programmer, Julian Lefay, left. They're still making great games, IMO, but each iteration is closer to Diablo in terms of the RPG mechanics. And that's a bummer for people who are expecting an RPG fix from BGS.