I have an old saw in my bone pile that was saw-dusted and has no measurable compression to it all. It will start and run but at a high rate of speed/rpm, it will not idle down. So at the other end of the spectrum I would think it would be reasonable that a limit of compression could be reached where it would be detrimental to go any higher. Think about the piston mass, having to overcome that amount of pressure, vs the power increase made, one having to take over the other. Of everything (not much) I know about engines, there's always a trade off. Very interesting though, has the pea in my head just a swirling! I can't help but wonder if a little more weight on the flywheel rotating mass or maybe even the piston itself would help overcome this or would it just hurt acceleration to the point of not being purposeful?
Edit:
Hard to put away all I learned back in my hot rodding days. These little two strokes are a whole different critter than a big block V8. Guess that's whats makes saws so interesting to me, always something new coming along, but interesting all the same.