It depends on the game you are playing. Like, I play Zelda64 and the blurry walls and low polycount are great because you imagine the details of the landscape, heightening the fantasy and overall experience. Same thing for MGS. The orignal game is MUCH darker than the gamecube remake, which seems likea cartoon, purely because of the graphics (and afew shitty cutscenes, but shh)
on the other hand, when you have an art game built around a low-key premise, you need better graphics. If you'e ever played The Path, you know its artistry is limited by the poor illustration. Shadow of the Colossus is anther game like this, though to a lesser extent. SotC was GORGEOUS in motion, which is what keeps you playing it. Thats not a dig at the game, because I love it.