Regarding air compressors, CFM rating is what you need to consider vs the air consumption of the tool. As mentioned, a standard die grinder will go through huge amounts of air and the only type of compressor that can keep up is a high CFM two stage.
I have a 5hp compressor with two 60 gallon tanks and I can run that thing out of air with a die grinder. Most of the time, it doesn't because as previously stated, you're not typically running something continuously. However, if running an air sander or grinder it will use up the air.
Some of the smaller tank air compressors such as those designed for running roofing nailers actually have a pretty good CFM rating. A pencil grinder would of course use way less air than a die grinder.