Place .jpg from PS CS3 to IllusCS3-File size question

Newbie here- Good Morning
I am creating a doc in Illustrator that will ultimately be saved as a pdf for online viewing.  In PS, I am increasing the images ppi from 72 to 300 as well as decreasing it's size, saving it at medium quality jpg and I get a file size around 175k(perfect for me).  When I place the image in Illustrator and save the file, I get an overall document file size increase of over 800k.
Is there any way to avoid this?
Thanks!

It sounds as if you are embedding the image rather than linking it.
Either drag the image from the Finder or Bridge or else File-Place and check Link.
(If you drag from the Finder with Shift held down it will be embedded.)
There's usually no need to embed images unless you're prepraring HiRes pdf files for print, in which case it's best to leave the embedding until just before you save as pdf. Failure to embed images in print files may result in white horizontal lines cutting through the images.

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