You're full of crap! I've been a Scoutmaster for the past 5 years, and I've seen the merit badge program increase in difficulty significantly! The Eagles today are as great, or better, than they ever were.
A lot of people refer to the lessened emphasis om camping as the softening of Scouts.
So true! Merit badges keep getting more difficult and rigorous. My oldest is doing the new one now - Composite Materials. Nothing shabby about this badge, though of course it is not ER.