Seems to me like the benefits of setting one's troops as mercenary aren't worth the costs of it... Morale loss reduction doesn't seem to be all that great, if it drops that much at such distances. Imo, the morale loss reduction for mercenaries should be greater on all continents...
Just because an umbrella doesn't work in a pouring thunderstorm, does not mean it's not beneficial to buy one in other circumstances.
