Measurement and Benefits Evaluation on China’s Labor Market Integration
ZHAO Hui-qing1,2, ZHOU Guo-fu1
1.Department of Statistics, Tianjin University of Finance and Economics, Tianjin 300222, China;2.School of Economics, Tianjin University of Commerce, Tianjin 300134, China
Abstract On the road of China's economic development transformation, the importance of labor markets integration has become increasingly prominent. But China's labor market segmentation still being serious, it poses a serious constraint to sustained and healthy development of national economy. By comparing the regional and industry differences in labor productivity and its marginal product, this paper measures the degree and trends of China's labor market integration. It is found that labor market regional segmentation has significantly weakened since the reform, while its industrial segmentation is quite serious. For the high technological and institutional entry barriers in industrial sector, traditional service sector has been the main fields for the transfer of agricultural surplus labor. Policy simulation shows that there are huge economic and social benefits within China's labor market integration.