Good Morning Erik,
Yes this is more complex than I first thought, but it appears that while the model resolution does determine the number of discrete points contained within the model. This becomes relevant when scaling or transforming the model. For example if you import a 3D model that is 3 inches by 3 inches by 1 inch and then you wanted to scale it to 24x24x6 you would loose considerable detail unless the original model representation was stored as a very high resolution model.
Like a digital photo, if the starting resolution is low, it may look fine when printed as a 3x5 print, but if you attempt to scale it to poster size the low resolution of the original photo will become very obvious in the poster sized print.
This would also apply if I converted text to vectors and then rotated or scaled up the vectors. While the vectors are at the original size and orientation, increasing the model resolution would not make any difference. Increasing the model resolution would only be beneficial if I wanted to scale up or transform the vectors.
So I stand corrected, the model resolution can affect the tool path, but only has discernible effect when importing 3D models or scaling up or transforming vectors. The larger the model is scaled the more important the the starting model resolution becomes.
This is a good description from Vectric