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A diesel motor runs somewhere in the neighborhood of 20:1 compression. Last I checked a TDI gets somewhere in the neighborhood of 45mpg (that has a turbo too). Higher compression ratios are good, and will usually indicate higher efficiency. The reason fuel milage may suck is that to be safe, its better to add fuel then take away or stay the same (general rule, please don't reply back with "I know this one car..."). Same with turbos. You can either run really good engine management and get good milage or throw lots of fuel at it and be safe, but run kind of shitty.
Lots of people have been talking about getting better milage on a KA-T with stock internals over a standard KA on the highway. Maybe my dad would be happy about the upgrade if I told him that.
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