Yes working with fixed specs will let you get the best out of the hardware.
Working with a fixed set in stone resolution saves a ton of trouble while coding and allows you to make it look as good as possible. Same for matching animation to a specific frame rate, matching textures and filtering techniques to a certain resolution, matching detail to a set draw distance and field of view, etc.
Hard coded constants are always more efficient then a scalable engine.
That doesn't mean a scalable engine can't produce almost as good results on consoles, since the engine will be compiled to that specific target. Hence no video options available on console. The same engine compiled for pc is a lot less efficient since it has to work with tons of different configurations.
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