Earlier quoted context omitted.
Smaller apks are great, but throwing away the security model to get smaller apks really isn't. :( Has Google come out with a way to compress string localization information yet? That would make a big difference for apps that support lots of languages, and last I checked (which was a few years ago, so happy to be wrong), Google didn't have a good solution there.
Apks are zip archives. So, naturally, everything they contain is already compressed.
Files in zip archives can be compressed, but don't have to be. If you compress resource.asrc, there are bad runtime consequences; much worse than the package bloat that results from not compressing it.