Some respawn would be ok, as long as it's within the bounds of reason. I don't just mean putting the same kind of monster somewhere every time, but... if you hack a gang of bandits to pieces, you could expect a dire wolf feasting on the remains when you come back next time. Or have another group of bandits move into the territory _once_ or at maximum twice.
Just refilling encounters endlessly with the same monsters leads to something I hated in Fallout 3 - there you have... 30 or so friendly npcs in all of the settlements in total, surrounded by limitless numbers of raiders and deathclaws. After killing 200+ raiders and lots of deathclaws, you have to wonder why they pack their bags and come into the raider death zone from far and wide - and how the hell any friendly npcs are still alive with dozens and dozens of three meter tall clawed monsters roaming about.
At some point, intelligent enemies should have the thought "The last five bandits who went to ambush people near <player>'s keep/village of X/... got wiped out, I'm going somewhere else - I want to live!". And barring a wizard summoning/creating lots of monsters or someone shipping in creatures from somewhere else, there is an upper limit of population density for huge predators - lone predators they usually have their own areas and if you kill one, its neighbour might move in - but once that one is dead too, there just are no more nearby who could fill its spot.