Family farmer attitudes toward incorporating into the formal economy

Informal economy is particularly present in small-scale farming, although little attention has been paid so far. This article aims to contribute to a further understanding of the attitudes of small scale, family farmers, toward incorporating into the formal economy. For this, a survey was conducted of family farmers located in the Metropolitan Region of Santiago, Chile. The questionnaire was divided into the following sections: i) personal characteristics of the farmer, ii) technical and production features, iii) level of formalization and iv) statements regarding attitudes toward formalization. The data collected was processed by descriptive and multivariate techniques such as factor and cluster analysis. The results showed that farmers perceive formalization as a complex process which entails unpleasant obligations, and that they do not consider it really necessary. There are some distinctions, however, that allow two clusters to be identified: Favorable (18.82%) and Reluctant (81.18%). The first group has a positive attitude both in terms of the formalization process and its overall impact, but it represents a small percentage of the farmers. We conclude that to increase family farming incorporation in formal economy accurate and understandable information, as well as the adaptation of the processes and obligations to farmers situation is necessary. Acknowledgement :