It's not about the resolution that's important; it's how you use it. If you straight up ripped the textures from Halo Reach on looked at them on a PC, they would look terrible because they weren't meant to be viewed at a certain screen resolution; this is the exact same reason why Halo PC has fuzzy textures - they were direct ports. Let me give a better example:
Take a previous gen console game and emulate it on the PC; the textures are not as nice as you think. All those old consoles rendered at 480i for the most part; trying to scale it up to a 1080p monitor without making it look bad is very hard. Silent 2, for example, has some fairly impressive graphic effects considering the hardware. It was able to do this through creative use of fog and night to make the required render distance very short, allowing for decent geometry and real-time, soft shadows.
I wouldn't mind the eternal "graphics war" if the developers would just optimize their shit. I just played Crysis 2 for the first time on my PC, and it worked great at Extreme/Ultra settings. Crysis 1 - wihout the graphical optimization community - at the highest settings lags a bit. And don't even get me started on Metro 2033.
Optimization goes along way.
As for having graphics instead of an actually good game with a story and solid gameplay, that is just a textbook example of misguided budget.
I'm to tired to even start on that.