There's a couple reasons for this:
1. OpenGL2.0 graphics not supported on most android devices yet, so developers dont implement it into games (gives things like motionblur).
2. No multitouch on most phones
3. No market restrictions for developers uploading
4. Fewer developers.
There's a couple answers to this though too!
1 & 2: Android 2.0, and new android phones support opengl2.0 and multitouch, so it is only a matter of time before we see games using these. Polarbit already use multitouch on Toonwarz, and ratsquare use opengl2.0 in speedforge extreme (when it's released).
3 & 4: A lot of good stuff gets lost with all the junk uploaded by half-assed developers. There are some absolute gems though (search this forum, or the games forum) and more and more iphone developers are releasing for android too.
Android market is way newer than app store, but eventually you'll see games on par with iphone, perhaps by year end even there will be a much close correlation.
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