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There's probably some truth there. Though I thing it goes both ways. The merchandise is meant to sell the games.

I do think you're underestimating how difficult it would be to make a full-blown Pokémon action game though. The attack animations in the "Stadium" games wouldn't work for an action game. Also, you need a unique attack animation for every single Pokémon using every single one of their moves. I want it to happen too, but I think there are far more understandable reasons than just money for why it hasn't happened yet.