...what would they look like?
Would they be small and cute like in the game/anime? Some of them after all would make great domestic house pets. Just imagine, instead of Pet Stores we had Pokemon Stores! Instead of goldfish in a tank we could buy Goldeen and Seaking. When we go to adopt a canine from the animal shelter, we see cute little Growlithe and Houndour or their evolution. When we got to outdoor parks, in the trees we hear Pidgey and Taillow chirping away or when we go to tropical islands hear Chatot mimicking everyone. I imagine that in real life Pokemon would be localized as well due to environmental living conditions. It would be quite nice to have Pokemon around...
[Pidgey] They would be just as annoying as regular birds!
[Starly] Seriously, they'd be everywhere!
[Plusle & Minun] Still would be cute bunnies!
...then again, a lot of Pokemon would be extremely dangerous to those not seeking to capture or battle them. That's probably why in the anime a lot of characters would use guns and such to keep safe. While sure, there are a ton of Pokemon that would help the world and make a lot more things easier, they are quite as many that would be a danger. On the most basic level, the wildlife would be much more aggressive for now they would be able to attack you with special attacks, rather than just physical.
[Feraligatr] Much quicker than your average gator!
[Luxray & Shinx] Now they don't even have to maul you.
[Ninetails] ... what the fox?
But still, Pokemon would be extremely useful! I mean, then everyone could seriously just relax. There might be job decline due to Pokemon innovation, but I'm sure the economy would stabilize. People and Pokemon would work together to keep the world running. For instance, the post office would transform into a fast flying delivery system, 'cause you know planes take to long and harm the environment. We'd have Pelipper to deliver local mail and could have larger Pokemon, like let's say Flygon or Dragonite to get those quick shipments done. If not, planes and ships would still be used. We could have electric Pokemon working in power plants and really wouldn't need cars because we'd have Pokemon, thus saving the environment some more and not wasting space on parking lots! Pokemon would be very useful!
[Pelipper] Next rate air mail!
[Magnemite] We'd never run out of batteries!
Useful, but could also be totally disastrous! While there are many small Pokemon, there are also many large Pokemon! Many legendary that could literally destroy the world in an instant if they wanted to or at least wipe out the human race! I really don't understand why Pokemon listen to their Pokemon trainers, even yet don't rule the Pokemon world, they hold so much more power. I guess they are just nicer than human beings and aren't constantly trying to be the best. That's not all Pokemon though, I mean...the Godzilla of Pokemon, Tyranitar, probably wouldn't have a problem rampaging through town stirring up a sandstorm. Even in the anime, one episode featured an angry Tentacruel that wanted to destroy the human race because they destroyed their home, he was easily doing so too with its army of little Tentacool. Even a military tank didn't slow it down! However, just because one little girl (Misty) talked some sense into it, it left and went to live in peace. Strange, if only people would be as understanding.
[Tyranitar] We can only imagine what it'd look like.
[Articuno, Zapdos, Moltres] Legendary Trio would be the cause of climate change.
All in all, I don't think Pokemon being real would be such a bad idea. I mean we clearly see them living in peace in the anime and in the games, so I think the human race would be fine. ... Too bad they're not real, instead we're stuck with the millions of creatures that walk this planet. They may not have elemental attributes, but most animals and organisms are pretty amazing. But we really don't put animals up against each other, we've got lots and laws and stuff to protect our wildlife and precious pets.
But wouldn't it be awesome if we could all do this:
Seems pretty legit to me 
Let our imagination run wild, the games are great and trainers know what it's like to love their Pokemon, yes even if it's just a game. Pokemon is a strange phenomenon that still is going on today. The series is a part of a lot of our childhoods and is so friendly that anyone can join in at any generation or any age. It's not just child's play as many assume, there is a competitive side along with a leisurely side. 14 years later and I still like the games, haven't watched the recent anime, but I hear it's better than last seasons. Regardless, Pokemon still has a long life ahead of it.
Gotta catch em' all!
Tell me,
How would you feel if Pokemon magically became real?