This study investigates the impact on interregional income distribution of the diffusion of improved technologies for wheat production in Pakistan. A multimarket model is developed that captures both direct productivity effects and indirect effects operating through the markets for wheat, other commodities, and agricultural labor. The model is used to simulated the impacts of adoption of technologies that are currently available in Pakistan. The simulations measure the long-run impact on real incomes of eight different socio-economic groups-large farm, small farm, and landless households in rainfed and irrigated areas, and poor and non-poor urban households- under both controlled and uncontrolled wheat prices.