Configured with: ../configure --enable-languages=c
Thread model: posix
gcc version 3.4.0

GCC 3.4.0 seems to inline some nested functions, but sometimes it does not
remove the standalone definitions of them even if they are not referred at all.
This increases the binary size unnecessarily. I compiled my C source file in
this way:

/usr/local/bin/gcc -c -Os -save-temps nested.c

I checked the object file by objdump. This is a small version of the source file
which reproduces the same result:

----------------------------------------------------------

int
next_partition (unsigned long drive, unsigned long dest,
		unsigned long *partition, int *type,
		unsigned long *start, unsigned long *len,
		unsigned long *offset, int *entry,
		unsigned long *ext_offset, char *buf)
{
  auto int next_bsd_partition (void);
  auto int next_pc_slice (void);

  int next_bsd_partition (void)
    {
      return 0;
    }

  int next_pc_slice (void)
    {
      return 1;
    }

  if (*partition != 0xFFFFFF)
    {
      return next_bsd_partition ();
    }
	  
  return next_pc_slice ();
}

----------------------------------------------------------

Even though the function next_partition does not call next_bsd_partition.0 or
next_pc_slice.1 in the object file, their defnitions are left.