Absorption, Diffusion or a combination of it all?

Might depend on what your goal is.  Rooms and acoustic problems are so varied.

In my experience, the most valuable place for absorption is in the first reflection points on the side walls and ceiling, and the wall behind my listening chair.  I focus on diffusion on the front wall and behind my speakers.  Took my room to another level.  Bass traps are also valuable.

Others may go with another recipe.  

Diffusion properly placed adds fullness and depth to the imaging.  Usually listeners like diffusion directly between the speakers and directly to the sides, and behind the listening location.

A 100% absorptive room sounds terrible. :)

All of it ! alternate absorption and diffusion , use absorption at the first reflection points.

From what I’ve read, which may or may not be accurate in all instances, is that you want absorption behind the speakers (front wall), and diffusion behind the listening chair (back wall).  Based on experience, I can vouch that the aforementioned holds true for electrostatic (dipole) speakers, but I'm not sure that it carries over so definitively for regular speakers.