I am ok with paying more for some games, but I want to be clear that I do not think price is based on file size.  Breath of the Wild feels a lot bigger than most third party games that have a larger file size.  A bigger file size often indicates a lower quality game.  I don't know if third party developers are less skilled or lazier than Nintendo programmers (maybe both), but bigger file size does not translate into a higher quality game.  Look:

BotW  13.4 GB
Immortals Fenyx Rising  45 GB

I'm just putting that out there, because these games are comparable.  That probably means that most third party games could be made to take up about 1/4 of the storage space if third party devs cared to do such a thing.

I also want to say that most games are not even worth the $60-70 price tag they get at launch.  Chrono Trigger could charge more, because it was a high quality game with a unique experience.  It had all of the top RPG devs at the time working on a game like no other.  What game is like that today?  None really.  The closest might be some game that really blows people away like BotW or Elden Ring.  They could charge more for these games, but they are the cream of the crop.  On the other hand I really think Madden or FIFA really only should charge $30-$40, and the same goes with the Link's Awakening remake.

Basically, they could charge more for top of the line games, but they also need to lower the price for 80-90% of the games already being made.

Sort of. In a very roundabout way.

Skyrim Anniversary Edition is $70 on Switch. But that's a bundle with DLC so it's not the same, or a new concept really.
But it brought a conversation to 'Will Nintendo raise the price of their games to $70 as well, and if so when?'
And that turned into what could potentially justify a price hike that people would be ok with?

I'm more looking at the cost difference between bulk Blu Ray discs (which I believe can go for 10 cents) to the cards that the Switch games are on. 

Yeah, that's why I wondered if this has happened to any singular title. On any console even.

I suppose it would be possible in the same sense that Day 1 patches are a thing. But I feel like publishers would usually be reluctant to release a game (that's not an online live service game) that doesn't work out of the box unless you download the rest of it.

And that brings up another potential question. If a game publisher is considering porting/cross developing a game for Switch, but surmise they can't fit the game on there unless they use one of the more expensive larger cards, could that be a factor that has deterred some ports from making it to Switch?

If that publisher could instead charge an extra $10 or more for those type of games, perhaps that would change that.

I think Doom Eternal didn't get a physical release because it would have needed 32GB cartridges.

Microsoft could not do Doom Eternal Physical I'm guessing Limited Run did it but limited releases and probably without Cartridge hopefully I'm wrong and there was a cartridge.

Obviously there is a cartridge. That's the whole point of LRG. Otherwise it wouldn't really be a physical release.

IMF is also 13 GB on Switch. The 45 GB is on PS5. Same goes for Persona 5, it's 12 GB on Switch and 37 GB on PS5. I'm sure this must be something related with the compressing algorithm they use to store the games, not with developers. 

I'm not really good at how Limited Run operates though thank you ^^

You mean already paying over the odds? Digital games shouldn't be more than 40$ when a physical card is $60.

I guess we have this unlucky combo now, half functional physical cards plus expensive digital games, so the extra revenue from digital subsidizes the store presence of physical boxes. The cartridges should probably be $70 and the digital version no more than $50.

I would be more than willing to pay extra to have the save games on the cartridge again with multiple Switches in the house. Swapping those micro SD cards is a pain in the ass with my aging hands. Nvm when you drop one, I can't find it again lol. I guess that's why the official Nintendo one is bright yellow!

Anyway I'm 100% for decoupling physical and digital prices. However it's often physical that's cheaper than digital, just because they can get away with charging over the odds for digital. Banking on people's laziness. Added convenience tax. So yeah chances are, $80 more functional cartridges will increase the digital price as well :(

Depends on the games if they require you download for additional contents, i wouldn't be ok.

Full completed product with free optional patches like Metroid Dread or Splatoon 3, i would proudly pay them at $70 just for instant boot up instead of waiting for stupid long ass installation like my PS5 and Xbox Series X took me around 20 to 25 minutes to complete.

Interesting that these games are significantly smaller on Switch.  However, I think that is only part of what is going on.  I know that devs have complained that their games are too big for the Switch before.