while i agree with points made about the dangers of over compressing something, i'd like to offer another point of view.
to answer your question, yes compression is used often in music. compression is, to me, the "sound of rock." what you think of when you think of a great kick sound or snare or bass, etc, is a compressed kick or snare sound. compression has become part of what we think of as the sound of that instrument. just like you expect a pro recording to have reverb or ambience.
also, ever notice that a snare never "pops" like the one on "interstate love song" when your in the room with it? part of what you would say is the crack or pop of the snare sound is the compressor kicking in. the point when the signal hits the threshold and starts to be reduced. if you listen closely you can hear compressors kicking in on pro recordings. use that to judge your own compression settings. one of the most pleasing sounds in the world to me is beautifully applied compression on a vocal.
while almost any technique can work, i'd almost say you need compression in tracking. i have gone back and forth on compressing some things, but kick, snare and bass almost always need it, unless the song or the player is delicate and nuanced.
anyway, my apologies on running on so long. get a comp and play with it. you'll be glad you did. much luck.