An Economic Analysis Of Property Rights On China's Labor Market Transition

This article mainly discusses the transition of Chinese labor market based on the theory of property rights in order to find what are encumbering the market development, focusing on the decreasing cost of transaction of the labor market conformity. The content includes three parts in the form of six chapters. The first part includes the first and the second chapters, telling the background, the implication of the research and the others' work on the same topic. The second part includes the third, the fourth and the fifth chapters. This part analyzes the transition process of the Chinese labor market with the theory of property rights and studies the obstacle to the development of labor market especially with the idea and method of property rights game. The third part is also the sixth chapter, giving some policy suggestions on the integration of the labor market and overall employment of the urban and rural area.The Chinese labor market is characterized by the separation of the two parts. It was the separation of urban and rural areas in the planned economy period and now turns out to be the separation of two parts in the city labor market. The separation of the labor market reflects the difference of rights between the rural and the urban workers. Modern theory of property rights claims that the confirmation of property rights is a kind of game equilibrium of the different principals.The planned location of labor is the logical and historical jumping-off point of the transition of Chinese labor market. The planned location of labor is the result of confirmation of property rights by the state according to its own utility functions. In planned economy, state-owned property rights was placed on the dominating role and private property rights were blur. This property rights structure necessarily caused the economic deficiency. The development of labor market is actually the process of confirmation of the private property rights.The flow of rural labor and reformation of the urban employment system urged the development of labor market together. The Chinese rural labor flow is under the institutional obstacles such as registered residence institutions and other discriminative policies. The labor market has not been built up really though there are...