Philip Wadler wrote a paper about this (called Why No One Uses Functional Programming Languages) and addressed the practical pitfalls stopping people from using FP languages:
- http://www.cse.iitb.ac.in/~as/fpcourse/sigplan-why.ps.gz
- http://carpanta.dc.fi.udc.es/pf/papers/sigplan-angry.ps.gz
Update: inaccessible old link for those with ACM access:
- http://portal.acm.org/citation.cfm?id=286387
