Apart from the amount of RAM, what kind of modern programming techniques are being used for developing those games? First thing is, I bet developers do not actually develop on real C64's, which would make development much easier and more comfortable. What else? What programming languages are they using?
A good point -- I mentioned support and coding tools, but the platforms themselves are emulated to excellent accuracy, and the emulators can be automated via scripting to fast-forward execution, inspect and edit live memory, and run practically unlimited numbers of emulators in parallel. So, indeed, PC tools for programming at least, very much viable.
Which, I don't know that there's a whole lot of application to run emulators in parallel, for programming purposes -- perhaps to run a genetic algorithm to solve some especially perplexing optimization problem say? -- but there are other reasons, certainly. If not especially practical reasons.
For example, storing files in an array of Tetris instances (15:10).
The... less exotic application, of course being tool-assisted superplays or speedruns. Some TASs accumulate 100k's of "rerecords" using scripts to brute force routes, button combinations, setups, etc. A "pure" study, in the sense of being entirely for entertainment purposes.
Tim