As far the Merlin and the DB601/605 series went, its a perfect example for the "There`s no replacement for displacement" rule.
Merlins achieved just about the same powers as DBs, but they had to use higher RPM, higher grade (and thus more expensive) fuel,higher boosts to do that. Higher boost worked against the use of higher compression rate, which resulted in worser effiency, or in other words : Merlins consumed a lot more fuel than DBs for the same horsepower output, by about 1/3 more at high powers. The positive effects of larger displacement can be seen very well on the DBs: the larger, more powerful DB605 actually consumed less while producing more power than the DB601...
Also interesting to note, that in order to withstand the forces generated by the much higher boost rates, Merlins lost the possible edge they could have in size and displacement. Practically the weight of Merlin`s (27 liters) and the larger displacement DB`s (33.4 and 35.7 liters IIRC) was the same, in fact, later Merlins were a bit heavier. Dimensions were the same almost for milimeter. It seems the neccesary strenghtening of the engine block stole away the gains with a smaller displacement.
Rough empty dry weights were the following:
Single-Stage Merlins and DB601As : 610 kg
Two-Stage Merlins (61-66) : 741-749kg.
DB 605A: 740kg (approx.)