Im playing Tactician, on PC, and heres now its been for me.. Its my understanding that this is universal for all platforms, though bugs and such, obviously can effect each differently.

1) In the Original, and now in the EE im seeing regular cycling of supplies.. Thats equipment, spells, scrolls, mats, single use items, weapons, and armor.. I utilize all of my characters, and sue majority of the vendors, and this has been universal.. Though, like yupper states, the items ive vendored, remain.

2)I took a screenshot of the giant spider boss in Black cove where it dropped 2 purple, 1 gold, 1 blue, and 1 green item, along with 2 or 3 items..I got a gold item from the champion room in the end of time (always do, the 1H axe) i got a gold club (clobbering time) from the lighthouse boss, along with a purple weapon, and a grren and blue item.. In fact, my lvl 8 tank, has majority of his gear purople (and i dont purchase those.. My money is spent on mats, and spells in the beginning).. His bag, has another 10 or more purple, half a dozen golds (gold means indestructable) and a ton of blues and greens.. Id say these items starting appearing around lvl 5..Full disclosure, i did purchase all 4 weapon kits from the undead vendor on Cyseal beach.. Staff and sword at lvl 3 (befoer i could use them) and the bow, and 2handed later, around lvl 6 or 7.. Perhaps what you have equipped affects loot outcome? Like an overall gear lvl.. I doubt it, but its a thought.. Rng.

3) this never bothered me.. Any Blacksmith who wants to specialize in a specific material needs training with it.. Similarly for a combatant needs training with any weapon he/she wants to use..

4) The top answer is always Blunt or Rude, and the bottom answer is always a compassionate, or friendly answer.. I have to agree with yuppers here.. Seeing what the effect is would ruin immersion for me.. I dont look at the traits as a must have, and i only ever choose a reply that fits my character.. Its a bonus, nothing more.. If it wasnt the way it is, its nothing more than another stat choice, and it would suck... This way, it feels more natural.. Ofcourse you always have people who prefer to save before each conversation to see what the outcomes are, and thats fine.. If you want to pick your answered based on the traits, this is all that needs to be done.. You initiate all conversation anyway..