Here's the thing; pirating is obtaining free intellectual property. This normally falls into the range of free share of thought, which is a constitutional right. However, games nowadays have huge budgets that they need to fill. If people have the possibility of acquiring all the time and work put into it for free, the company is completely unable to invest in making a better game.
In theory, pirating is not really wrong. You're getting a product that otherwise, you wouldn't be getting for several reasons (Too pricey, game being bad, lack of money and amongst the excuses pirates use for cleansing their conscience). The problem is that 90% of pirates don't have any of the 'several reasons' aforementioned, but just torrent and pirate games because they can obtain the game for free, instead of paying for it, and claim they would not be playing it anyway if they had to, so it doesn't make any difference. The whole 'if you do something right, they will pay for it' argument is of course not true and people will keep downloading games until extreme measures are taken. If you torrent games, here's the proposition: Don't. Regardless of whether or not you ARE in the 10% who has an actual reason to download the game; both sides of the pro-piracy discussion all blend together meaning that as long as people pirate games, we can be sure of one thing: THE DEVELOPER DOES NOT GET HIS MONEY BACK.
What are he consequences of the game developer not getting his money back? Them not putting any effort into making something truly groundbreaking, as it will not make a difference on whether or not people will torrent games, prices for those who buy the games going up, less budget and the fact that multiplayer mode nowadays has far more importance than the aspect that actually requires the developer to come up with a way to immerse and thrill the player (Just look at games like CoD and Halo; no one plays them for the singleplay, and both Bungie and Treyarch know this)
Also, one final thought; games aren't expensive at all; before, an NES cartridge would be far more expensive than a PS3 game and wouldn't have nearly as much budget.