Two hour refund isn't really that much different to the developers than the rental market for console games is/was (I don't know, does GameFly or such still operate?). People were still finishing games without paying the developer. (pretty sure I've read at least one game dev personally feel worse about rentals than piracy. I guess because at least then a third-party isn't making more money than the dev did off that player?)
Does the developer see how many times their game was refunded? I suppose that would make it only a small step more insulting to the developers. But then so was directly pirating the game, and I have heard some devs do have estimates to how activity happens on that front.