We study the effect of language barriers on the ability of farmers to access information about agricultural technologies in rural areas of India. We use the introduction of government-sponsored call centers (Kisan Call Centers) which offer agricultural advice in the official language of each Indian state. For identification, we compare geographically contiguous areas that sit across state borders, and exploit differences in the language spoken by farmers and call center advisors. We document that language barriers limit the adoption of modern agricultural technologies – such as high-yielding variety seeds – and negatively affect crop yields.

We provide evidence on the importance of coordination frictions in technology adoption, using data from a large provider of electronic wallets during the Indian demonetization. Exploiting geographical variation in exposure to the demonetization, we show that adoption of the wallet increased persistently in response to the large but temporary cash contraction, consistent with the predictions of a technology adoption model with complementarities. Model estimates indicate that adoption would have been 45% lower without complementarities. Our results illustrate how large but temporary interventions can help overcome coordination frictions, though we caution that such interventions may also exacerbate initial differences in adoption.