We present measurements of the luminosity and color-dependence of galaxy clustering at 0.2<z<1.0 in the PRIsm MUlti-object Survey (PRIMUS). We quantify the clustering with the redshift-space and projected two-point correlation functions, xi(rp,pi) and wp(rp), using volume-limited samples constructed from a parent sample of over 130,000 galaxies with robust redshifts in seven independent fields covering 9 sq. deg. of sky. We quantify how the scale-dependent clustering amplitude increases with increasing luminosity and redder color, with relatively small errors over large volumes. We find that red galaxies have stronger small-scale (0.1<rp<1 Mpc/h) clustering and steeper correlation functions compared to blue galaxies, as well as a strong color dependent clustering within the red sequence alone. We interpret our measured clustering trends in terms of galaxy bias and obtain values between b_gal=0.9-2.5, quantifying how galaxies are biased tracers of dark matter depending on their luminosity and color. We also interpret the color dependence with mock catalogs, and find that the clustering of blue galaxies is nearly constant with color, while redder galaxies have stronger clustering in the one-halo term due to a higher satellite galaxy fraction. In addition, we measure the evolution of the clustering strength and bias, and we do not detect statistically significant departures from passive evolution. We argue that the luminosity- and color-environment (or halo mass) relations of galaxies have not significantly evolved since z=1. Finally, using jackknife subsampling methods, we find that sampling fluctuations are important and that the COSMOS field is generally an outlier, due to having more overdense structures than other fields; we find that cosmic variance can be a significant source of uncertainty for high-redshift clustering measurements.
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