On the 3D revolution as cause for gaming ruin:
The crux of the issue is that 3D certainly didn't help to bring better games as a whole, despite a few exceptions. Most of what I consider the better games in strategy/simulation genres of the early to late 90s games had 2D graphics and their 3D sequels are "eh" at best compared (Age of Empires, Civilization, Sim City, Dune 2/C&C) since with 3D modelling and physics making complex game mechanics in top of that sounds like a nightmare for a hobbyist like me. Could I be wrong here? I just think of how the evolution of series like The Sims who got their mechanics dumbed down even as they added bells and whistles, because higher production values meant needing the larger lower IQ markets (women, faggots and ignorant little children without fathers or guidance). I think the only 3D games that really benefited from the technology were targeting games, such as vehicle simulations, racing games, ship battles or FPS/TPS, the latter which is the defining unthinking men's game. Speaking of FPS here, I'll make a digression to state that in my opinion, Doom 2 and Tomb Raider are still more fun than any following FPS/TPS, like the recent offerings Ass Creed or Bioshock, save for a few inspired exceptions like the first Tomb Raider. But that might just be nostalgia, since Doom 2 and Tomb Raider are also just stupid fun and not that complex games.
Turning to the 3D discussion for RPGs, I think 2D is fine even for first person view, like Dungeon Master, Lands of Lore and Ultima Underworld, since combat and exploration are more abstracted. Some games like Deux Ex, Gothic and VtmB may have benefited from 3D engines, but apparently those game bankrupted their companies, because production values escalated to only what big money can reach. Much more than demand for good games, at least. Are there any other good examples? From recent successes, Bethesda or Bioware games, are exactly what I have in mind when I think how it is impossible to combine high production values 3D modelling and physics to make complex game mechanics. The solution is using "free" low end engines like Unity or Unreal to make less expensive PC games, but that has
problems of its own.
The complex technology constraint of 3D engines added to the catering to the low IQ console masses, since the late 90s with the PS1 and XBOX, have both contributed for ruining computer gaming, but I blame the scaling of costs and search for largest markets more than expensive technology per se. As a naive hopeful addendum, some small venues of good cRPG production still subsists, for while microscopic, niche demand for good games is here until we die (as long as we keep women, faggots and ignorant little children away from our favourite industry).