everthing in morrowind is a masterpiece. from the flower in the pot to the cool architecture in the buildings, landscape, and cities. Everything is unique and original.
You don't have rose-tinted glasses on. You've got rose-tinted lenses embedded in your eyeballs.
Morrowind is a great game, but it's not THAT great.
I still rank it equal to Oblivion and Skyrim, as I enjoy them all. Still, they've all got problems(cough cliff racers cough)
On the subject of faces, that's not a valid comparison. the faces in Morrowind were all presets, so they could put as much detail into them as they wanted. Oblivion actually had varying facial features. Not even close to the best facial features, but it was a start
And the faces weren't as bad in oblivion as the animation was in Morrowind.
Also, that last statement is flat out wrong. You CAN fail persuade checks, and I frequently do. Still, it's better than Morrowind's system of you can fail ANYTHING. My best friend almost didn't play the game when I introduced it to him because he got killed by that first mudcrab without ever hitting it