why is the smaller res smc file larger than a higher res movie?

I have wondered the same thing.

Take an mpeg and go through a converter and get an avi file that’s 20 megs or so, which is meant for a fairly large resolution screen, then go thru SMC and get a tiny resolution avi file which is 40 to 60 megs!  It’s crazy!

So far I have not heard any sort of explanation for this.