Human Capital Gains Comparative Studies In China's Labor Market

The economy has been rapid development during China's reform and personal income has also been a rapid increase in the past thirty years,annual income approached to 10%.But we also see that personal income gap have gradually expanded between urban and rural residents, regions, gender, labor market sector, industry in China, and has become one of the largest income gap country.To the current situation in China, scholars research income gap from various aspects analysis in order to explore the reasons, so far,there is no unified opinion and ideas. This is a very important issues. The aim of the thesis is explore the reason of the income gap between labor market sectors.Labor market structure, labor force employment patterns and the decision mechanism of labor income in the different labor market sectors during labor market reform, in the event of a dramatic changes, however, the results of the labor market does not reduce the income disparities between departments, but expanded. in the competitive labor market, it is suggests that labor income is reflected in its human capital level, income level reflects the labor productivity, the homogeneity of the workforce should receive the same income by human capital theory, in order to achieve "equal pay for equal work". If income disparities, it must be a reflection of differences in human capital, it would narrow the gap between high-income and low-income people through human capital investment. Therefore, the current problem is that is the expading income gap between the labor market reflect differences levels of human capital? To what extent comes from the human capital? is it achieved the "equal payfor equal work" between labor market? If not achieved, then to what extent about the "unequal pay for equal work"? In addition to human capital, are there any factors resulting in income disparities between departments? These issues need to be explored is the content of this paper. The paper explore the differential in return of human capital between labor market with labor market reform in china and the changing transfer of labor market structure.First, the thesis retrospect the process of trans formation of the labor market, also analyzed the degree of differences the return of human capital between departments.in order to analyze "unequal pay for equal work" phenomenon, using the Oaxaca-Blinder decomposition methods and Quantile regression methods, this paper use CHNS survey data study the human capital premium different between the labor market as well as internal labor market. According to human capital theory, labor market segmentation theory, social capital theory respectively, the paper investigate the reasons of the human capital premium between sectors from human capital, institutional changes and sector selection, and labor mobility, finally, the paper Choose a two-stage selection model to correct for multiple departments (mlogit-OLS two-step-corrected) analysis unit selection effects and to correct sample selection bias caused by the revenue department of the error equation of the problem, and come to the department corrected income equation, in the end the paper analysis the influence of various factorst hrough shapley value decomposition.Through the above research, we draw the following conclusions:Different labor market has different mechanism of return of thr human capital in China, it is the most direct reason about the difference income between labor market sector that segmented labor market yield the difference mechanism,with the lapse of time, the differences between the return of human capital gradually expanding, sector "equal pay for equal work" phenomenon have eased, but still very serious. there is a big difference between different sectors of the degree of "unequal pay for equal work." The performance of the internal labor market, income distribution and the public sector's revenue structure of state-owned sector is more flat and centralized, private sector and the informal sector more diversified revenue structure and the gradient.the difference mechiam between labor sector will leads to different phenomenon in human capital investment. Second, because of labor market segmentation between the department decided to return the difference choose to be a very important factor, select the department of labor barriers formed an important reason for differences in labor income. In any case, human capital factors in determining personal income is still the most important factor, its contribution can reach 30%, and it will rise by the time.