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The best thing about applying these attributes to folders is the automated behavior of NTFS which it shows towards the content which it shows towards the content which is inside them. Unless you selected the “Apply changes to this folder only” option when applying the attribute, NTFS would automatically compress any content you copy to the folder. Remember that both encryption and compression cannot go hand in hand with NTFS. This is majorly due to the way NTFS encrypts contents.
Let us assume that you have two folders with the names “Normal” and “Compressed” with compression enabled on the ‘Compressed’ folder and neither encryption nor compression enabled on ‘Normal’. When you move (or copy) a file from ‘Normal’ to the ‘Compressed” folder, NTFS would automatically compress the contents for you. Similarly when you move a file from ‘Compressed’ to ‘Normal’ decompression would automatically be done. Saved you from the sweat, eh?
Encryption works in a similar fashion. When you move any non-encrypted content to an encrypted folder, encryption is done automatically but the vice versa is not doable.