All fluids will act the same way as far as compressibility goes. The differences between them stem from such things as operating temperature range, reactivity with materials such as seals, and other chemical properties. You could run a bulldozer on water if you had to.
The limit to reaction time is partly a matter of inertia of the involved mechanical components vs. the power of the pump, but is ultimately restricted to the speed of sound in the fluid. It can never be 'instantaneous'.
Others here such as Brewnog and Fred know far more about it, though.
edit: I'm not sure, but you might have better luck if you ask to have this moved to the Engineering section.