Abstract:With the continuous escalation of US-Sino trade frictions and the on-going COVID-19 pandemic, a global economic recession seems inevitable. Faced with a series of risks and uncertainties, such as the shrinking of developed markets, the insufficient size of emerging markets, trade protectionism, etc., it is imperative to adopt a new development strategy emphasizing the dominant role of internal circulation and the complementarity of both the internal and external circulations to sustain China’s long term economic development in its long term effort of the great national rejuvenation. Based on China’s 40-years’ development achievements after the economic reforms and opening-up, this article discusses the current domestic and global economic situations, and analyzes why China should take the domestic economic cycle as the mainstay and exploit the complementarity of both the internal and external circulations before making some policy recommendations.

Abstract:The new round of global technological innovation is marked by the information network, intelligent manufacturing, new energy and new materials. It gives the birth of a new industrial revolution, and has deeply changed the mode of production and life style. With the new round of technological innovation, new features in the innovation mechanism, innovative platform, innovation approach and innovative measures are obtained. There are both unprecedented opportunity and adjustments in new round of technological innovation at the same time. In order to turn China’s economy to innovation-driven development and endogenous growth mode, it is suggested: 1)promote the enterprises become the main body of technical innovation; 2)improve the system of intellectual property protection to promote technical innovation; 3)develop the internet information security censorship and information technology products safety test; 4)start the innovation engine program of the information internet technology; 5)strengthen the innovation talent team construction; 6)speed up the construction of service-oriented government.