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lBecause gaming is party an interactive and a visual medium. Whilst a game doesn't need great art-style or graphics to be a great game what it does do it make the game a more well-rounded product. If your going to stare at something for hours it might as well be visually interesting. The visual style also adds to the charm and atmosphere. For example, if Bioshock didn't have its art deco stylings it wouldn't have been as compelling a game.

BTW our eyes understand black and white images more easily, thats why lots of people absolutely love the aesthetics of a black and white film or photograph and its something I wish more games designers would utlilise. And I disagree that if a film is made with modern technology the film would be better. It depends on the people behind and infront of the camera aswell, if they aren't as good as the people that made the original film its simple not going to be as compelling an experience . For example I doubt a modern remake of citizen kane or 2001 would be as great as the originals even though the technical aspects would obviously be years ahead.