This paper is based on matching model with horizontally differentiated
agents and endogenous variable as the nature of jobs, the minimum wage
effects on selectivity and job specialization is examined. It is explained how
firms choose the characteristics of their jobs according to the labour market
conditions. The objective is to understand the influence of public policies on
firms’ technological choice. It is shown that a higher minimum wage
enhances labor productivity as the agents become more selective and the
nature of jobs becomes more specialized.
