What amazed me was that i was still stuck on some of the same parts(if anyone remembers the racing levels in battletoads).
Damn dude, that's some shit, because I remember playing that game as a kid and always getting stuck on that same part! I had only borrowed the game from a friend so I never did beat it.
You are spot on when you say video games are getting easier. Like Kul69 said, most games these days are just running from one point to another, not doing too much of anything and watching movies and cut scenes to move the story along.
The perfect example of this is that Fable 2 game. Not only was it easy as hell since you technically can't die and have unlimited magic, but every objective was just running along from point to point while doing a bit of fighting along the way. At the end, you don't even have to fight the final boss, it's just one long ass cut scene to show you how much time of your life you wasted playing this piece of shit.
Another example is Gears of War 2. Now, maybe I'm just buggin' out, but the original Gears was ten times harder than this load of crap. The only saving grace for this game is the multiplayer, which takes forever to get into a game.
There are still plenty of games out there that offer a stiff challenge, but I believe most games these days are easier compared to the games of yesteryear.