Their problem isn't lack of money. It's organizational problem. For how long was TToN developed? Half that period was in pre-production, making new iterations. Wasteland 2 probably hade the same problem. Then, people were let go. Too many cooks was also a problem. So, in sohrt: Money issue was not the problem. There were many other factors.
Yes, this. Budgets weren't the problem. Small teams weren't the problem. Constantly changing teams and visions were the problem. Look at the disastrous development history of TToN: they already had some things, and those things were decent, but then were scrapped because someone demanded a change in direction (like the change of the portrait artstyle in the middle of development, when most companion portraits had already been made and looked much better than the new artstyle they were replaced with). Horrendously long time spent in pre-production and then when they actually go over to implementation of content, they still don't have a 100% straight, worked-out plan to follow so the implementation can happen without any kinks in the process. What was the point of the long pre-production when there are still changes in direction afterwards? Isn't the point of pre-production to make sure everything fits together and the implementation process can go smoothly? But it didn't go smoothly at all. The project management was just fucked from start to finish.
Meanwhile Troika managed to release three flawed gems in the amount of time inXile took to make ONE game, and they had a much smaller budget and much smaller team, too. And yet despite their flaws, Arcanum, ToEE and Bloodlines are three classics that are still worth playing due to the great elements in them. And Troika weren't exactly known for great project management. Still they managed to deliver better products on smaller budgets with fewer development time.
A bigger budget wouldn't help inXile. What would help them is a better approach to project management.