  We present the quantitative rest-frame B morphological evolution and galaxy
merger fractions at 0.2 < z < 1.2 as observed by the All-wavelength Extended
Groth Strip International Survey (AEGIS). We use the Gini coefficent and M_20
to identify major mergers and classify galaxy morphology for a volume-limited
sample of 3009 galaxies brighter than 0.4 L_B^*, assuming pure luminosity
evolution of 1.3 M_B per unit redshift. We find that the merger fraction
remains roughly constant at 10 +/- 2% for 0.2 < z < 1.2. The fraction of
E/S0/Sa increases from 21+/- 3% at z ~ 1.1 to 44 +/- 9% at z ~ 0.3, while the
fraction of Sb-Ir decreases from 64 +/- 6% at z ~ 1.1 to 47 +/- 9% at z ~ 0.3.
The majority of z < 1.2 Spitzer MIPS 24 micron sources with L(IR) > 10^11 L_sun
are disk galaxies, and only ~ 15% are classified as major merger candidates.
Edge-on and dusty disk galaxies (Sb-Ir) are almost a third of the red sequence
at z ~ 1.1, while E/S0/Sa makeup over 90% of the red sequence at z ~ 0.3.
Approximately 2% of our full sample are red mergers. We conclude (1) the galaxy
merger rate does not evolve strongly between 0.2 < z < 1.2; (2) the decrease in
the volume-averaged star-formation rate density since z ~ 1 is a result of
declining star-formation in disk galaxies rather than a disappearing population
of major mergers; (3) the build-up of the red sequence at z < 1 can be
explained by a doubling in the number of spheroidal galaxies since z ~ 1.2.
