Production differences
When creating a movie, a lot of factors come into play. In general, animation and live action film production may produce similar films and stories, but ultimately the creative process is vastly different between the two.
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The Argument
Producing animated films is entirely different from producing live action films. The biggest difference is that an animated film can be made by people all over the world, it isn't necessary for actors, directors, and writers to all be together in the same space. There are no real sets when it comes to animated films, and different parts of the film can be made simultaneously. In live action, continuity between scenes and shots is essential, but in animation there is a lot less importance placed on this aspect. Animation style may purposefully differ from scene to scene for storytelling and tonal purposes. This is a lot harder to accomplish when it comes to live-action films.[1]
Allowing animated films to be compared to live action films is essentially encouraging the comparison of apples and oranges. Thus, there should be two different categories for Best Picture, one for animated films and one for live action films.
Counter arguments
Yes, the production of animated films differs greatly from the production of live action films. However, the end product, the films themselves, are similar enough to warrant comparisons. If the Academy is awarding Best Picture to the film that was most effective at telling its story, then it is reasonable to compare animated films to live action films.
Premises
[P1] The production techniques of animated films differ significantly from those of live action films.
[P2] The Academy cannot accurately compare the films because they are produced differently.
Rejecting the premises
[Rejecting P2] The films themselves are similar enough in the way they tell a story, and thus are comparable.