The KML tag for scaling the size of the icon is just <style>. For example:
<Placemark>
<name>Placemark of Scale 2</name>
<LookAt>
<longitude>-110</longitude>
<latitude>35</latitude>
<range>3500</range>
<tilt>-2</tilt>
<heading>6.2e-010</heading>
</LookAt>
<styleUrl>root://styleMaps#default+nicon=0x307+hicon=0x317</styleUrl>
<Style>
<IconStyle>
<scale>2</scale>
</IconStyle>
</Style>
<Point>
<coordinates>-117.1643564990565,32.71581383773918,0</coordinates>
</Point>
</Placemark>
You see the <scale>2</scale> portion of the code. That is your scale factor of 2. Furthermore, you can find out what altitude the camera is at now (supposedly), but since it is a new feature of the latest KML (see
this reference ), there are no real examples out there and the documentation won't be out for another 1 - 3 weeks from what I hear.
I don't think there is a simple way to do this though (if there is, someone please speak up!), even though the peices of the puzzle (ie, scale factor tags and camera altitude info) are there. All I can think of right now is to use a very high resolution image overlay instead of a placemark and then make it a dynamic data layer that refreshes based on the new KML camera altitude parameters (hopefully docs on this and examples will be out soon). The server serving this stuff up would rescale the image based on lat/lon coordinates. It's a bit of a hack, I know.
If anyone knows a more elegant/simple way, speak up! While I know how to do some interesting things with GE, I'm by no means an expert.