Sgt. Sykes said:
The problem with health meter is that you can have 1 point of health out of 100 (i.e. almost dead) and you can still work completely fine. At least I don't know many games that have any punishment for being low on health. In some, like Doom 3, there is some effect on the character, i.e. you hear your heart pounding or your vision is blurred/bloody, but to be at least somewhat realistic, that would have to happen when the player is, say, on 90 points out of 100, and that wouldn't be much fun. I think.
The problem with regeneration is obvious, but let's state it anyway: you get shot and you have to freaking WAIT under the table or something to heal. That's just a stupid concept.
The best compromise would be to have renenerating armor and non-regenerating health, with the player's status degenerating with every point. I.e. on 90 health, the sounds get a bit weird, on 80, the vision gets a bit weird etc., but due to full armor, you can still survive fine. Why haven't anyone thought of this?