The Role Micro Funding and Family Funding on Wealfare Salt Farmer in Madura

Abstract

Basically, financial institutions in the form of microfinance institutions (MFIs) are needed to support rural economic development, especially as institutions to facilitate the costs of salt farming businesses. This is because most farmers face technology adoption due to weak capital. This condition occurs in salt farmers, Kalianget District, Sumenep Regency. This study aims to determine the concept of salt business. factors that affect the productivity of salt business, and the role of microfinance in salt farming. The study was conducted in the paper village with the aim of purposive sampling with a total of 40 samples. The data obtained from the study were analyzed using the R/C and Cobb-Douglass functions. The results showed that salt farmers were profitable with an R/C value >1, salt production had a significant effect on labour, weather and family resources