Bounded rationality and Family Farmers producing tobacco in the Vale do Rio Pardo-RS

Abstract

This article aims to analyze the process of rationality that underpins the decision of farmers of producing or stop producing tobacco. To this end, 63 farmers who live in the micro region of Vale do Rio Pardo/RS were interviewed. The approach of limited rationality proposed by Simon (1965) was used as an analytical aid. It was used in this analysis quantitative and qualitative data. As the results, It was found that the conduct of farmers is supported on social, cultural and economic standards established by institutional context. The reactions of farmers before the cognitive conflict caused by dissatisfaction with their current situation and the few or no alternatives for change are linked to structural and subjective elements. The structural and subjective elements, the current situation of farmers and their future projects, their reactions about the decision of producing or stop producing tobacco are guided by lack of choice, not by the action of bounded rationality. Added to this conclusion, the weak organization of the farmers and asymmetric information about the productive sector.