Because whenever you make anything in HD, you need to up the polygon count, the textures, etc., otherwise it just looks real bad and even your grandma would complain about the look. And guess what, that shit costs time and as we all know, time=money. In the case of game development, you're talking millions.
Super-ghetto, seriously? It's that the type of game it is, it just doesn't need super high-end graphics. Those take a lot more time and money. Also, considering it's a franchise that's been dead for well over a decade, they also don't want to put too much of a risk into the development. The game isn't an FPS or survival horror game, graphics aren't a pre-requisite for enjoyment. It actually makes perfect sense not to put it on the 360 or PS3 initially, not until you've successful revived the franchise. It doesn't warrant that kind of budget from a business point of view. But if you read up on what's actually in this game, it's got far more depth and gameplay in it than an XBLA game. It's being developed as a 20+ hour game which NO downloadable game matches.
And I agree, if it's a $50 game, I ain't getting it. It's gotta be priced right. A budgeted price for a budgeted title. $30 would be purchased day 1, $40 would require a little more debating. That's why I initially balked at House of the Dead: Overkill, which was a revival of another long-dead franchise (7 or 8 years). If it was $30 US like it should have been, I would have been there day 1.
You and Sine may be the presidents and founding members of the Wii Sucks Club, but if you're a fan of NBA Jam or House of the Dead, you should be thankful that a cheaper development alternative exists. In the past, revivals like NBA Jam or House of the Dead would either be not made 'cause the budgets too high or left solely for handheld development, since that's the only place where the budgeting makes sense. You've got your XBLA, WiiWare, and PSN, sure, but they're only really good for a small segment of these revivals and remakes. Price them over $15 and no one buys them, period. The length and depth of those games shows it. That's why it's odd to get a game like Shadow Complex or Bionic Commando which requires more than 5 or 6 hours tops to complete 100%. There needs to be a middle ground and the Wii provides it. Sure, you get some on the Xbox 360 and PS3 like that (see Earth Defense Force 2017 for 360) but it's 'cause the Wii's cheaper development costs that we're seeing more of them now.
Don't worry, if it's popular enough, you won't miss out not having a Wii. They will certainly port it and you'll be able to play it. So you won't be the only kid at school being left out.
I was there on that fateful day, were you?