Informal Economy and Diversity: The Role of Micro-producers

Abstract

This chapter theoretically discussed the sustainability of micro-producers. Economic mechanisms work to reduce the number of micro-producers, which are relatively inefficient in comparison to large firms. This economic force puts diversity in society at risk, which can then harm the culture of the region. It is necessary to explore the essential importance of diversity before taking policy actions. Differences in geography, climate, history, and environment have brought about the uniqueness of the culture of each region. Each people in a region has continued their creative activities based on their own culture, and this in turn generated a diversity of products. Thus, policies for improving the efficiencies of micro-producers, such as provision of microfinance, coordination of networks and associations, and human capital development in the field of business activities will contribute to the sustainability of diversified culture in the world.