It can make a game better (and almost always does), but it doesn't really contribute to the gameplay unless its a graphics reliant game (Snatcher, most adventure games) or it does so in a unique way (Eternal Darkness, Metal Gear Solid).
I disagree with Video_Game_Kir. Graphics don't make a game better. Its they way they contribute to the emotional empact on the gamer, and the impact thus on the gameplay, that is important. In CoD4, I was faced with a war-torn hell, and had to fight my way out. That gave me an incentive to fight, to win, to go all out. That is graphic's contribution to gameplay. In, for example, Zelda: TP. If I see a dungeon that looks cool, I have the incentive to explore it. That is the whole point of graphics: make gameplay funner, "cooler." They aren't the end, but rather a means to an end, that end being fun.
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