General Secretary Xi Jinping emphasized that "a new round of technological revolution and industrial transformation is accelerating, with cutting-edge technologies constantly emerging, leading and supporting the rapid rise of future industries." The complex and profound interaction between previous technological revolutions and economic cycles indicates that technological revolutions have become the fundamental driving force for promoting economic cycle evolution by creating new technological paradigms, industrial sectors, and organizational forms, while destroying the old economic structure and constructing a new economic structure. History also reveals that countries leading in the technological revolution often occupy a global leadership position in the following long wave cycles. The unprecedented changes in the world today are accelerating, with technological and industrial innovation advancing rapidly. Faced with the current long wave cycle, it is necessary to accurately predict the impact of the new round of technological revolution on the economic cycle, and take effective measures to prepare for the upcoming new paradigm, achieving a historic leap from "cycle following" to "cycle leading". According to Schumpeter's innovative cycle theory, the world economy is currently in the depression stage of the fifth long wave cycle, and traditional long wave theory predicts that this stage will end around 2030. At present, global technological innovation has entered a period of intensive activity, with a trend of multi technology cross fusion and collective leap in technological innovation. The characteristics of penetration, diffusion, and subversion are more distinct, and the industrialization process is accelerating. These characteristics will have short-term, strong differentiation, and high volatility impacts on the depression stage of the fifth long wave cycle. Short cycle: Shorten the length of the depression phase. The depression phase of long wave cycles is usually accompanied by excessive capital accumulation and depletion of technological dividends. The new round of technological revolution and industrial transformation, by creating new growth points, may lead to an early recovery of the world economy under the combined impact of multiple technological waves such as the AI computing power revolution, quantum breakthroughs, energy revolution, and synthetic biology. Affected by a new round of technological revolution and industrial transformation, this long wave cycle presents many new phenomena, such as data and algorithms becoming new production factors. Although the growth rate of physical capital investment has slowed down, digital asset investment has rapidly increased, and artificial intelligence has also driven a significant improvement in production efficiency. The new round of technological revolution and industrial transformation has led to a continuous compression of the technological iteration cycle. Compared with the previous four long wave cycles, the length of the depression period in this long wave cycle will be shortened, and the arrival of the recovery stage may be earlier than predicted by traditional theories. Strong differentiation: widening the gap in national capabilities. Unlike the previous situation where the technological revolution and industrial transformation were dominated or even monopolized by a few developed countries, the trend of the new round of technological revolution and industrial transformation is characterized by multi-point breakthroughs and group promotion. No single country can independently meet all the requirements of technological innovation, which means that the competition for the high ground in the field of technology will enter a white hot stage. Developed Western countries seize the high ground in the high-tech field through technological advantages, and set up technical barriers such as standard system patent walls, which pose a challenge of "technological gap" to developing countries. This means that the technological gap may escalate into a composite fault of "economy security governance". Developed countries such as the United States may cross the fifth long wave cycle, but some developing countries may fall into the "technology gap trap". This structural change may exacerbate global economic imbalances, but it may also provide opportunities for emerging economies to overtake on the curve. High volatility: increases potential risks and challenges. The new round of technological revolution and industrial transformation has also brought enormous potential risks and challenges to countries. From a political perspective, technological competition is causing economic and trade frictions between countries, leading to geopolitical conflicts; From an economic perspective, tech giants may suppress innovation and exacerbate economic imbalances by monopolizing technology; From a social perspective, the emergence of new technologies such as AI has not only led to the disappearance of traditional jobs, but also created new high skilled positions. This structural unemployment problem may exacerbate social inequality; From an institutional perspective, there is a conflict between accelerated technological evolution and relatively lagging regulatory systems. These risks and challenges are essentially the "pains" of the transition from industrial civilization to digital civilization, which may exacerbate the oscillation and volatility of economic development during the depression period. To cope with the impact of economic cycles, the development of new technologies and industries represented by artificial intelligence has brought both historic opportunities to smooth out cyclical fluctuations and severe challenges to exacerbate structural imbalances. China is currently in a critical period of high-quality development transformation, and needs to adopt a systematic and forward-looking layout to focus on building a "four in one" resilient development system with strong technological innovation as the engine, deep integration of intelligent economy as the foundation, high-quality human capital as the core, and modern governance system and governance capacity as the guarantee. We need to turn shocks into driving forces and strengthen our strategic position in the future global economic landscape. Firstly, strengthen the national strategic scientific and technological strength, and grasp the "initiative" of cyclical fluctuations. Core technology is a crucial tool for the country and also a "stabilizing force" to mitigate the impact of technological revolution on the economic cycle. Mastering core technology is the key to taking the initiative in the cycle. Strengthen the collaborative research and development of national laboratories, high-level research universities, national scientific research institutions, and leading technology enterprises, and achieve original breakthroughs in basic research and core underlying technologies. Focusing on key fields such as artificial intelligence, quantum information, integrated circuits, and life sciences, we will leverage the advantages of the new national system and concentrate our efforts on breaking through a number of "bottleneck" technologies. Strengthen the dominant position of enterprises in technological innovation, encourage leading enterprises to form innovation consortia, and promote the transformation of scientific and technological achievements. Continuously increasing investment in basic research, reforming the scientific research evaluation system, and giving scientists greater decision-making power in technology routes and funding utilization. By implementing policies such as tax incentives and government procurement, we aim to create a fertile ground for the growth of specialized, innovative, and small and medium-sized technology enterprises. Secondly, promote the deep integration of emerging technologies with the real economy and create an industrial "stabilizer". The best way to hedge against technological shocks is to use technology itself to enhance the inherent stability of the economy. Fully implement the "AI+" action, use industrial Internet, big data and AI technology to transform and improve agriculture, manufacturing and service industries, promote intelligent, green and integrated development of the real economy, and accelerate industrial transformation and upgrading. Promote the development of smart agriculture, improve agricultural production efficiency and intelligence level. We will deepen the digital transformation of the manufacturing industry, vigorously develop intelligent manufacturing, green manufacturing, and service-oriented manufacturing. Implement the action of expanding capacity and improving the quality of the service industry, promote the digitization of the service industry, and promote the high-quality and efficient development of the service industry. Intelligent transformation can not only improve production efficiency, but also achieve precise supply-demand matching through real-time data feedback, reduce inventory backlog and production blindness, thereby smoothing the traditional inventory cycle fluctuations. Thirdly, build a future oriented human capital system to resolve the structural contradiction between talent supply and demand. People are the fundamental force in responding to all changes. Accelerate the construction of national strategic talent, cultivate and train more strategic scientists, scientific and technological leaders, outstanding engineers, national craftsmen, high skilled talents and other types of talents, and smooth the channels for talent exchange among universities, research institutes, and enterprises. Promote the dynamic integration of higher education and vocational education systems with technological development trends, strengthen STEM (science, technology, engineering, mathematics) education, and attach great importance to cultivating critical thinking, creativity, and complex problem-solving abilities that cannot be easily replaced by AI. Establish a skills reshaping system, improve the lifelong vocational skills training system for employees severely impacted by technology, focus on solving structural employment contradictions, and alleviate the pain caused by technical unemployment. Fourth, enhance the efficiency of macroeconomic governance and promote the modernization of the national governance system and governance capacity. In the era of rapid technological iteration, advancing the modernization of the national governance system and governance capacity is the cornerstone of maintaining social stability. By utilizing big data and artificial intelligence to enhance economic monitoring, forecasting, and early warning capabilities, fiscal and monetary policies can be more forward-looking and accurately "drip irrigation" to key areas and weak links, improving the predictability and accuracy of macro policies. While encouraging innovation and recognizing the value of knowledge, regulate the widening income gap caused by technology through means such as taxation, social security, and secondary distribution. Implement "agile governance" and adaptive supervision for new technologies and business models, strengthen artificial intelligence governance, promote innovation and healthy development of platform economy, comprehensively strengthen financial supervision, and enrich risk disposal resources and means. (Xinhua News Agency) Author: Zhu Chengliang (Deputy Director and Researcher of the Technical Economics Research Office at the Institute of Quantitative Economics and Technical Economics, Chinese Academy of Social Sciences)