mmoy,
I was thinking more in terms of L1 and L2 caches than system memory and swapping to disk. I remember some comparisons showing that compactness of code, even though less efficient comes close to bloated, but optimized code, once usage of L1 and L2 is taken into effect (and multitasking, where other tasks may want to claim some of the L1 and L2 caches).
With typical memory sizes on current PCs, it is not the size of the code that is very significant. Data is more likely to be the bigger consumer of memory, when you get to 1GB or so usage.
Joe