Yes. If it takes x lbs in the seat to compress the spring y inches, compressing the spring y inches will push the bike up by the same amount, reducing sag, which is the technical term for the amount the bike sinks from fully extended springs while standing still with the rider seated.
You must have some sag, otherwise the tire will not be in contact with the road if there's a depression in the road surface.
Raising the rear of the bike will make the fork angle more steep, and the steering will be quicker/less stable.
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