Informal Trade

This paper, entitled "Informality and its prevalence in farmer marketing in Puno 2020-2022", aims to understand and provide solutions to the informality that negatively affects economic growth, farmer productivity and social welfare (difficult to obtain credit). Although informality in the labour market has decreased in Peru over the last decade amid increased economic dynamism, it remains high, indicating the need to take measures to reduce informality and limit its harmful effects. In general, there is a need to improve the rules governing the functioning of the Peruvian labour market in order to eliminate the factors that hinder formal hiring. Based on the legal definition of informality, this article examines the general causes of this phenomenon, with a special focus on the informality of small farmers in Puno.