Dual Segmentation Of China Urban Labor Market

The well development of labor market is a dominant precondition for China sustainable economic growth. As the market economy system was established, China labor market begun to emerge. But we still can see lots of disorders and conflicts in our labor market, just the same as the other resource markets. Problems like high unemployment rate, deficiency in social insurance and large income gap disturb the economic growth. Since the opening-up policy, China economy has always been keeping a high growth rate. But we also have employment problems. The growth of national gross product has a limit effect on enlarging the employment rate. The big income gap among Chinese civilians is becoming a great danger to the society stable. The problem of employment is actually caused by the inadequacy combination between labor force and labor material. On the other hand, the income gap comes after the inefficient combination and deficient of corresponding policy.How does this problem come up? What can we do to solve them? China dual economy formed the urban labor market. While In the rural area, no actual labor market came into shape. Many labor forces immigrate from rural to urban area to seek for job opportunity and obtain salary wage to improve their poor condition. So based on the theory of labor market segmentation, the main object of this paper is China urban labor market. Here we try to do some reasonable explanations and end up with some analytical conclusions.As a matter of fact, it is already a global phenomenon that the labor market is not an entirely competent one. Foreign researchers have given many focuses on this topic. China scholars also made some descriptions of China labor market segmentation. Such as urban-rural segmentation, department segmentation, industry segmentation, gender segmentation and so on. The usual standard to define the segmentation is wage inequality and immigration obstacle. The research methods keep the same with foreign papers.Generally speaking, this paper tries to find out whether the rural labors confront occupation discrimination or salary inequality. The first chapter of this paper separate China into three parts:the East, the Middle and the West. As we known, the three parts are experiencing different development status. The East attracts labors from the other two parts. So does there has different segmentation degree in these parts? The second chapter of this paper establishes occupation choice models and wage models to analyze whether rural labor forces meet discriminations. The last chapter focuses on these rural labor forces that have a better education background. Do they also meet the same discrimination in the urban labor market? If they don't, we can conclude that investment on these rural labors will be a good method to solve the rural labor segmentation.Finally, this paper concludes with three findings. The first one is the three main area of China have different urban labor market segmentation degree. The east area has the largest one, while the West area is larger than the middle area. The second finding is that labor with different Huji status will get different treatments in the career choice opportunity and wages obtain procedure. At last, Huji status doesn't play a prominent role in the high education rural labors'wage acquisition.