I've written games in many languages over the years, including basic (Waaaay back), Java, C/C++, C#, JavaScript, Flash, Python, and a few other languages.
I've written two books about game programming, and several others that included game examples.
Currently I prefer Python, as it's a nice clean language, it's very powerful, it's almost as fast as C, it's easy to teach, and it's available on all kinds of platforms. Python uses the same high-performance libraries as C and C++, so there's very little performance penalty, and you don't have the headaches of memory management you do in C.
I used to do a lot of game development in Flash, but Adobe has not impressed me recently. The language isn't really all that great, and I find it hard to fork out the kind of money they are demanding for CS3 when Python does nearly everything Flash does for free.
The one thing Flash is the champion of is web-based gaming. You can also do this in Java, but Java is kind of difficult to work with compared to Flash and Python.
For 2D graphics, I usually use Gimp (an open-source clone of Photoshop.) Sometimes I'll build 3D models in Blender and take still images of them for use in 2D games.
I generally use Blender for 3D work, as it does nearly everything you can do in Max or Maya, but it's free. It also comes with its own game and physics engines, unlike these tools.
Most of my games are released open source, and are bundled with the various books they were explained in.
I've made plenty of 2D arcade games including web-based and PDA-based games. I've done a little 3D stuff in Blender and VRML - Java, and played around with some of the 3D packages like Panda3D and irrlicht, but I haven't written a major project in them yet. (I'll probably do a book about 3D gaming soon based on one of these environments.)
I have written a game engine, called (wait for it...) gameEngine. It's a wrapper on pygame, which is itself a wrapper for SDL. GameEngine vastly simplifies the process of creating 2D arcade games in Python. It's available at
http://www.aharrisbooks.net/pythonGame
along with lots of notes and examples. You can also see many of my Flash games (in face every example from the Flash book and a few bonus games) at the following site:
http://www.cs.iupui.edu/~aharris/flash
Hope this helps you get started.