A family farm is probably the first and out of any doubt the long-lasted form of agricultural production in the history. It is studied many times from various points of view. The look at it in this paper is economic and institutional. It follows the idea that the main economic institutions are „The firm, the market and the law“.
The economic nature of the modern family farm in Bulgaria is analyzed based on a field study on the problem. The family farm is viewed as a set of transactions; their critical dimensions are studied by a discrete structural analysis; efficient modes for their organization proposed; related institutional framework and variations caused by it introduced.
Keywords: family farm, rural institutions, economic transactions.