can't create a dimstyle for each dimscale...this will make an incredible list..
I had the same problem. I agree that creating versions of each DIMSTYLE for each drawing scale is pretty bogus, and unacceptable.
I've found the best solution for us is to use TEXTSTYLEs with height 0 in DIMSTYLES. (The Scale on the Fit tab in the DIMSTYLE is set to 1.) Then the height of the text comes from the text height in the DIMSTYLE. This makes the text scale correctly with the rest of the dimension, according to the Scale override that Autocad applies. As long as you then have your project scale set accordingly, then you can go ahead and let Autocad apply the override, and everything works fine. No need to create versions of each DIMSTYLE for each drawing scale.
The only problem then is putting dimensions in paper space. In order to do that, the scale should be at 1, not at the drawing scale. So, you need to cancel the automatic override that Autocad puts on the dimstyle, or manually set the override back to 1.
Once I started using the automatic Fit override instead of fighting it, I discovered that Autocad is actually pretty flaky about when it applies the override. If you manually switch DIMSTYLES, the new override is not applied until you run certain other commands. I've since taken to starting up the LDD "Label Settings" command right after I switch DIMSTYLEs. This causes the Fit override to be applied from the drawing scale the way I want it.
I agree that this functionality is not well-thought-out on Autodesk's part. I tried posting something to that effect on the AUGI forum, and the big guys over there thought I didn't know what I was talking about. They just kept telling me to create versions of every DIMSTYLE at every drawing scale, and didn't seem to understand why I didn't like that solution.