Nagle said:
What systems actually do that kind of swapping in and out of GPU memory
all modern gpus doing it with opengl, where its up to the driver/hardware to manage the mip map levels for you. this applies on opengl, ask someone else to elaborate about this with other apis.
(by using the proper extensions, opengl can also generate the mip map levels for you automatically as well when uploading the texture, lifting one extra burden down from your shoulder. )
does it = doesnt means its going to be a good experience. if you got interested into relying on this behavior of opengl then i would strongly disencourage you from doing so, because with a lot of drivers and gpus this is a disaster once you run out from vram.