Comment by PetitPrince

Resident Evil 4 famously had a hidden dynamic difficulty setting that made the game easier if the player struggled. I think it worked because RE4 is a linear / ambiance based game. The game designer wants the player to progress in the story, and getting stuck on an impossible doesn't make sense except if the player chose a challenge mode. Contrast with Morrowing where it makes no sense having common bandit on the road carrying god-like equipment.