So whats the deal with difficulty settings?

[Imhotep]

Ive read a couple of posts about whether or not harder difficulties give the AI bonuses, and I cant find a definitive answer. I usually play on VH/VH - I know that strat map is impossible to make alliances let alone keep them, but how does this setting affect battle gameplay in BC? Whats the rule of thumb with difficulty settings?

Also I dont know what this is about, my guys on the field seem to be a little slow with taking orders. For example, if I command my cavalry to disengage or run when some bad guys are getting close it takes like 3-4 secs for them to respond. By that time my cavalry are swamped and start routing. And I get enemy infantry running right up to settlement walls, and very bizarrely running in circles around each other. I know the AI lacks brains but this is plain stupid. Sometimes I also get my own troops with ladders stopping and pausing right beneath the walls, it takes furious right-clicking to remind them those ladders go vertical not horizontal.

Its very frustrating especially when I dont know why its happening.

[Dago Red]

Never had any of those issues. Sometimes troops will not disengage from fighting immediately and you have to remind them a couple times, but that's about it.
Lots of the difficulty settings stuff is discussed in here:http://www.twcenter.net/forums/showthread.php?t=343320
But you'll have to read nearly the whole thing to get it all. Maybe someone can give you definitive answers...