The Evolution of the Labor Market: A Review of Theoretical and Empirical Studies on Segmentation and Integration

This chapter contains the literature review, which summarizes the theoretical and empirical works on the topic. First, we look at what has been discussed by overseas scholars, the methods they have used, and how they understand the change of the labor market from a state of integration to segmentation. Then, we examine domestic research, proposing that China is a “natural laboratory” for studying the evolution from labor market segmentation to integration. Finally, we analyze the concepts of integration (segmentation) and equilibrium, describe the relationship between them, and propose the pathway toward the goal of labor market integration.