Yes

One bearing moves up by the bore clearance and the other moves down the same amount.

The mental model I worked out is that it's the ratio of the bearing to bearing distance VS the height of the wheel from the spindle.

If the bearings are three inches apart and the height is 15.5" ( half of a 31" tire) the ratio is 15.5 / 3 or 5.2 to 1.

If your total bearing clearance ( both bearings combined, one moves up .0004, the other moves down .0004) is .0008 then you you would get .0008 x 5.1 of movement from the neutral position and then the same amount of movement the other way. .. Or about .010 of slop.

Basically, no matter how tight the preload, your going to have some movement. If you have a slightly worn spindle it's easy to imagine getting .030"+ of tread movement. With a layer of grease on the spindle, its hard to notice this when you slide your bearings on. When you have the leverage of the wheel to force the bearings you can feel it.

Might be nit picking... But if you have some slop after you adjust, its good to know where it came from. If there is a .001 groove in the spindle your wheel will move about .030" and if you have any signifigant wear....

Kevin