This paper reviews the conceptual underpinnings and empirical evidence on how poorly functioning institutions serves as constraints to farm innovation. In particular, the paper focuses on imperfections in the land, labor, credit, insurance, and product and factor markets as well as in public extension. Special attention is paid throughout to the role that gender plays in farmer adoption of agricultural technologies. The paper concludes by providing a high level view of the options available to international agricultural research centers to promote diffusion in the difficult environments for which their innovations are destined.
