Economies of Scale in Pig and Poultry Productions - Two different kinds of approaches are used to estimate the economies of scale in the pig and poultry productions. The first approach is normative and lays down in an abstract manner the evolution of costs and receipts according to the size. It shows that it is possible to cut down aggregate costs by 5 % when the herd increases from 50 to 1.000 fattening pigs. This is mainly due to the reduction of unitary requirements in investments and labor. The reduction of feedstuff costs is negligible. The second approach, of empirical nature is based on a survey among producers and on the analysis of farm accounts. The data, although too scattered, show a clear reduction of labor requirements with increasing size. The fact that investment charges remain unchanged is due to the development of mechanization when the firm grows. Savings on other factors are imperceptible.
