It seems like quite a reasonable view of what it was like, especially once we have more information from AMOL.

I wonder if the story on Demandred will help reinforce this as well.

It seems similar to the ideas in the first two Dragonlance trilogies (if you've read them), where the world became too far on the 'Good' side of things so the Gods created the Cataclysm, introducing pain / suffering / warfare back into the world.

My only question I have, which I have pondered for a while, is what was the gender balance like in the AOL? I can't remember much from the views of that time, but it seemed like the genders were reasonably balanced, whereas in the Third Age, thanks to the male Aes Sedai breaking the world, there seemed to be an imbalance introduced. This imbalance seemed to create a general distrust of men by women, and in response the men seemed to get either overprotective of them (e.g. the Two Rivers, the Borderlands), while still bowing to their wishes, or going the other way, becoming too Patriarchal and seeming to want to block women out if possible (e.g. Tear, though there were High Ladies, it seemed the High Lords driving most of it). It seemed to be something that was slowly getting addressed in the Wheel of Time series, with both genders respecting each other and trusting each other more, rather than almost disdaining each other.