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as small as possible. really.
Although there is no given answer, since its all relative to your page, etc. On a relative clean page with mostly html in it, then sure, a bigger banner size is more justified, on a page with LOTS of images already.. then you better start compressing, or in any way make sure it loads faster.
I think the main thing is to atleast try to compress it as much as possible while it still looks good.
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