I like the scaling. I really hated having to leave my friends out of farming runs because everyone in the party wanted a better chance of getting a green. I think that more greens should drop if more people are in the party. If they have done this in a manner similar to Diablo II, there will be drops that will only fall for large party sizes.

Those pictures are a little out of context. Was the after picture taken after clearing an area in Normal mode or Hard mode? They nerfed the monsters in normal mode, so the drops may have been nerfed accordingly. People should be rewarded for playing intelligently rather than for spending hours repeatedly exploiting a cookiecutter solo build. That's a testament to spare time and patience, not to ability.

In addition to removing incentives to exclude others, ANet removed a big temptation to exploit imbalances. Overall, I think the change is good. The economy will go screwy for a little while, but it will eventually adjust.

Besides, there is a flip side to this. ANet also removed the drop penalty for repeatedly entering the same area. You can now farm the same area over and over to your heart's content without seeing your drops decrease.