>However, if every single time you want to change any piece of logic in your game, you have to do the edit/compile cycle, your development will be extremely slow. Especially if you compare with the ability to change code while the game is running.

1. I'm working on a game in Unity right now that takes about 10 seconds to compile and reload the assemblies for the scripting language (only about 2 seconds of that is actual compilation, the rest is time that would be applicable to an interpreted scripting language).

2. I've built games in C where the entire project took 4 seconds to compile. Incremental compilation and modular architecture can get that down to near instantaneous for most changes.

>Especially if you compare with the ability to change code while the game is running.

Take a look at handmade hero for an example of an architecture that allows you to hot-reload C code while the game is running.

>Not having all the game logic in C or what have you makes the game easier to mod too.

That's completely architecturally dependent. You can make a game easy to mod for non programmers by storing data in a human readable/editable format. If you want to make it easy for players to write code there's a lot more work that needs to be done than just using a scripting language. For most games worrying about allowing modders to easily edit code is premature optimization.