@johnnyhalo666: Not everything increases your mental level (or whatever that reddening is called). I seem to be able to rob stores fine, killing players definitely effects it and I think npc's do too.
With the Wanted level there is a cool down, if you go on a rampage then yes you'll keep popping back up to the previous stars but give it some time, go do a mission or something, and it will reset. I thought it had always been like that?
The cops also seem to be able to use routes they didn't seem to before.
There is a PS crew, GBPS (GiantBombPS3), if there is an active PS4 crew I'd be interested myself.