honestly i think that video games could be and in most cases are a waist of time... o great i got to level 100!!!! now what??? if you play for money i can understand but pay real money for fake money is just plain stupid...
Video games actually stimulate your mind much more than most forms of entertainment, and can help those who don't care to read broaden their vocabulary. I learned a lot of words and different references through the Final Fantasy series (the reference of Shiva, for example) and reading the cut scenes for games can teach you a lot. Many of the puzzle games on this site, as well as anywhere, can teach you a lot, just like puzzle board games. Video games can teach you problem solving skills, and in the case of MMORPGs, you can even learn social skills in an environment that is a bit separate from your real life. Video games are also a great stress reliever and can give you a bit of relaxation and entertainment after a long hard day at work.
I agree with DragonMistress completely. As a child I hardly ever read books and spent most of my time playing games. During school, however, I was able to read at a better rate, understand and pronounce words that were to difficult for most of the kids that I knew.