I believe so. You can definitely tell a difference in the accuracy of Protect and Shell when you cast it as Level 1 and Level 5. When I would cast it on the entire party at Level 1-2 it wouldn't work on all members, but as the spell got stronger the coverage increased and it seemed to last longer as well.
The same with status spells against the enemies. Blind would only work for a number of them when it was low level, but it worked on all enemies when it was a higher level.
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