If you seriously can't fathom that Crysis at 720p doesn't look better than Quake 1 at 720p then you're either lying to yourself for the sake of an argument or need an optical checkup.
Maybe you resolution guys have no sense of imagination? You can't fill in the gaps? That must be it!? No sense of disbelief? I think I've fucking finally got the goddamn answer here for these ongoing arguments back and forth.
I can see a "blurry", 720p room filled with objects and items and realistic lighting on the curtains and my sense of disbelief "smoothes the room" I look past the technical bullshit and see the floor of the kids room in this game is scattered with magazines, 2 pairs of shoes a skateboard, some dirty clothes a poster on the wall.
You tech / resolution guys don't give a fuuuuuuuuuuuuuuuuuuuck if the room has 1 item on the floor as long as it's rendered photorealistically.
That's the difference here and that's exactly the op's point when he says "lower graphics"
I am hoping here that you just missed the point of the thread and you're not arguing the semantics of "lower graphics" for sport. Since that would be pointless and a waste of everyones time.
P.S this isn't a "why not have both" equation, we all get it, the Xbox One lost for GPU power, we know,.. very much already that it lost, ok? Honest - all of you, we get it. Doesn't change the OP's point, world items / stuff / lighting / particles / polygons on models OR resolution. Yes we'd love both, not gonna happen.
EDIT: for anyone here who isn't fluent with the term.
http://en.wikipedia.org/wiki/Suspension_of_disbelief#Video_games