Observing the increases in segregation in urban and education spaces(SSS: social spatial segregation), this study searches a theoretical framework to analyze the causes and impacts of SSS in Korean context. By reviewing previous studies, this study identify the power of explanation of ecological system theory emphasizing social process between levels and within them, and new institutionalism focusing on institutional contexts. This concludes a consolidated new institutionalism is more appropriate in analyzing the causes and impacts of SSS in Korean context, where rules and regulations excise greater influences through institutionalized statism with rapid institution change. Based on this, this study provides a new theoretical framework to analyze the causes and impacts of SSS. The theory suggests that in modern state where market economy and democratic politics are social principles, individuals and organizations respond to institution set at state and regional levels shaped through historical moments based on their preferences (including values and norms, identities, and legitimacy), perceived interests (utility, profit, survival and prosperity), and power relations formed through interactions with institutions, generating in SSS, and school and neighborhood effects. With this framework, we can analyze the causes and effects of school and neighborhood.