It's definitely not paging in the traditional, OS-level sense, but the standard Android (and, I think, iOS) behaviour of providing applications with a framework to restart exactly where they left off should be pretty much the same in theory. In practice, not so much.
Err, I see no way in which the activity life cycle is like paging.
In typical paging the application's memory is taken from RAM and placed onto a slower storage medium to free up RAM.
In the activity life cycle, Android is just telling the app "you're in RAM, but you're not running" or "you're going to get killed because I need the space, if you want to give me a bit of state information I'll hang on to it in RAM for you".
I don't see how the two are comparable at all, and I don't see how you could have paging without using a secondary storage.
