Would you believe that was precisely the reason why the old Japanese SNES RPGs has superdeformed character sprites?
There's only so much resolution you can get from 8- or 16-bit graphics put up on a TV screen
I do think they are awfully cute, tho - Ever play the old Langrisser series on the consoles, or Final Fantasy 1-3?

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"Hello, mother. I come bearing a gift. I'll give you a hint. It's in my diaper and it's not a toaster."
- Stewie Griffin
"The artifact which is the source of my power will not be kept on the Mountain of Despair beyond the River of Fire guarded by the Dragons of Eternity. It will be in my safe-deposit box. The same applies to the object which is my one weakness."
- The Top 100 Things I'd Do If I Ever Became An Evil Overlord
http://www.eviloverlord.com/lists/overlord.html
The Brain: Pinky, are you pondering what I'm pondering?
Pinky: I think so, Brain, but then it'd be Snow White and the Seven Samurai...
-Pinky and the Brain
http://www.lolthulhu.com/
-Props to S.R. Krol