The agrarian issue in Chile is largely defined by the problematic impact, particularly on the peasantry, of the country's continuing integration into the world market. This paper focuses on the shift from a market‐led to a state‐mediated process of ‘reconversion’ of agriculture's pattern of production and land use. Although the ‘Concertación’ governments have designed specific and novel policies aimed at enhancing the productive and transformative capacity of peasant farmers these have not yet been able to reduce the widening technological and economic disparity between capitalist and peasant farming. Thus the future of the peasant economy is far from being assured in an increasingly globalised and competitive environment.
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Cristóbal Kay (1997) studied this question.