This paper presents an analysis of the socioeconomic situation of the Mapuche population in the 9th Region of Chile (Region of the Araucania) and the determinants of that situation. First macroeconomic data on the region are examined, emphasizing in particular the evolution in growth, the per capita GDP and the productive structure. The study shows that the 9th Region falls behind the rest of the country in terms of per capita GDP, a situation persisting for the last 40 years. Even though economic growth has accelerated recently, the Region of the Araucania continues to be the poorest and also exhibits the worse indicators of inequality in Chile. The second section of the paper examines the demographics and socioeconomic characteristics of the Mapuche population in the Region of the Araucania, mainly using data from the Casen 1996, 2000, 2003 and 2006 surveys. The analysis centers on job income, poverty rates, levels of education and employment and the possession of indigenous lands. In 2006, Mapuches in the 9th Region numbered nearly 250,000 people (around 27% of the total population in the region). Close to 70% of the Mapuche population in the Region of the Araucania live in the rural sector. The Mapuche poverty rate in the Region is surprisingly high (close to 18% in 2006) and although it has fallen considerably in the last 12 years, it continues to be elevated when compared to the rest of the population. Part of that is due to the low levels of education as well as fluctuations in their employment rate and the high level of informality on the job market. Mapuches are generally small landowners and the productivity of their lands is very low.