Agreed... I have tried this myself and saw very little IQ improvements. Maybe it would matter more if you were zoomed in on a surface? I have no idea, but I am guessing that it would.
True enough, but with most games, how often do you have time to sit there and zoom in on something? Most of the time you are busy fighting aliens/nazis/zombies/soldiers/robots/ninjas. If a graphical improvement isn't easily noticeable, does it really make that much of a difference?
(I'm just playing the devil's advocate here. I'm all for having better graphics, but there does eventually come a point where throwing more hardware at the problem doesn't have as great an impact as the art direction).