"AI Difficulty" for next game?

[primevalangel]

Reading this discussion, I just had the following idea:

Since all nations have a difficulty estimation in current game, and I personally hate the current "AI Difficulty" options which just makes the AI cheat more or less (especially I hate there is no "Equal/Fair" difficulty option that does not add different bonusses/penalties to AI compared to player), I propose 4 possible "very-easy-to-implement" improvements (for next game):

1. Remove the "AI Difficulty" option (and just play with same mechanics for AI and player).

2. Remove the "AI Difficulty" option (and just play with same mechanics for AI and player). Add a "Difficulty" option that will recommend/restrict to playing nations of the chosen difficulty.

3. Just add a "Equal/Fair" difficulty option (between Easy and Balanced) that does not add different bonusses/penalties to AI compared to player. (Game AI outcomes should be between Easy and Balanced outcomes, so minimal testing needed.)

4. Remove all bonuses/penalties from current "AI Difficulty" options, but leave the "AI will reevaluate its objectives more often" and "At first.. then the AI will start to play for real", basically have only options that will make the AI play better or worse with same mechanics. We will end up with just maybe 3 "AI Difficulty" options, but the AI will play with the same mechanics/rules as the player. (No new functionality needs to be added)

I personally think the 4rd solution is the best (and used in most strategy games). What do you guys think? What solution do you prefer most? Do you have an even better solution in mind? Or do you like it most how it is now (with cheats for the AI)? Let me know.