文 献 综 述 1.Introduction 1.1Research background Founded in 1995, the World Trade Organization (WTO) and its predecessor, the General Agreement on Tariffs and Trade (GATT), founded in 1947, was designed to improve global trade by liberalizing trade policies, to ensure a dispute resolution process and fair negotiation platform. At the moment, the organization includes 164 countries and successfully cooperate with each other. Membership in the organization gives confidence in safe supplies, a wider choice of high-quality products and services, openness of foreign markets, equal rights of participants and accurate implementation of the rules. By lowering trade barriers, the WTO system also destroys other barriers between nations and nations. The main goal is also its more prosperous, peaceful and responsible economic world. In connection with the need to develop international relations and the desire to be part of a huge market, on January 26, 1996, Kazakhstan submitted to the secretariat a formal application for accession to the WTO. Since the trade organization has tough conditions, the process of Kazakhstan#8217;s accession to the WTO took a long time, and only in June 2015 the World Trade Organization (WTO) officially announced that Kazakhstan had completed accession negotiations, becoming the 162nd member of the WTO. Kazakhstan starts the fourth year of fulfillment of commitments made when joining the WTO. Although he is a full member of the organization, there are still some preferences, due to the short time spent in the organization. Also being a member of the customs union with the Russian Federation, which, in turn, based on recent events, has serious problems in relations with the EU and the United States, Kazakhstan faces a number of difficulties, which greatly affects the inadequate work and dysfunction of some agreements with the World Trade Organization. Despite all these difficulties, Kazakhstan still has good reasons to remain a member of the WTO and to strengthen the already established dialogue, increasing personal benefits for the development of its own economy and the welfare of its citizens. Today, a large number of studies are focused on examining the overall picture of the impact of the WTO on the object of study, identifying positive and negative aspects, studying the problems and prospects of organizing, threatening and weakening the economy from the lack of competitiveness of local products, etc. This work is aimed at studying the causes and benefits of joining a young, developing country to the WTO, using the example of Kazakhstan, which is actively showing itself as a modern country developing at high rates. The study will give an idea of the reasons and benefits of accession, will help to more clearly determine the positive side of participation in the WTO, which shows the uniqueness of this work. 1.2 Objectives of the study The most important objectives of study are scrutiny of the path of the negotiation process of Kazakhstan on accession to the WTO, identifying the reasons for Kazakhstan#8217;s accession to the WTO, the positive and negative points of Kazakhstan#8217;s accession to the WTO and find ways to solve them, and based on the experience of other countries, identify possible positive aspects of accession to the WTO on the economy of Kazakhstan. 2. Literature Review 2.1 Accession to the WTO Countries wishing to become members of an organization join the WTO through a process whereby existing members and the acceding country agree on a series of reforms, from tariffs and other market access commitments to internal rules and policies. The Marrakesh Agreement, which establishes the WTO on the basis of the GATT, in Article XII discusses new accessions to a multilateral body (World Trade Organization, 2017a). The article is rather short and vague; a country (or a separate customs territory) joins the WTO "on terms that must be agreed between it and the WTO" (World Trade Organization, 2017a). For clarity on the ambiguity of the article, the WTO secretariat created additional principles and an agreed set of procedures, including (a) the establishment of a Working Group, (b) a memorandum of the applicant country with a detailed description of its foreign trade regime, (c) negotiations, both bilateral and multilateral as appropriate, with respect to schedules of specific commitments in relation to goods and services and (d) a report of the Working Group on discussions, a draft decision and a protocol of accession, which must be approved by existing members. While the rules require two-thirds of WTO members to approve a new member, in practice the unanimity rule prevails, which governs most of the WTO's activities (Cattaneo and Primo Braga, 2009). 2.2 The reason for joining the WTO Bagwell and Staiger (2002) provide a clear argument for the existence of the WTO as a whole; they argue that, in addition to any political considerations, the WTO is called upon to solve ”(Prisoners#8217; Dilemma) based on the terms of trade” between large countries (p. 13). Based on Prisoners #8217;Dilemma, large countries in the world influence world prices through tariffs and non-tariff barriers in their favor through the means of protection they use, increasing their wealth at the expense of others (Bagwell Staiger, 2002). According to Bagwell and Staiger (2002), the WTO creates a system based on reciprocity guidelines, according to which large countries find it beneficial for them to reduce tariffs. These principles stimulate trade, successfully fixing the policy of liberalization and low tariffs. (Bagwell Staiger, 2002). Membership in the WTO is, according to the organization itself, ”a balance of rights and obligations” (World Trade Organization, 2017b). Currently, the WTO has more than 160 members, and each member has its own rationale. In their review of WTO accession, Cattaneo and Primo Braga (2009) describe some of the basic rights that members receive, including improved market access in the form of most-favored-nation status (MFN), protection from special protectionist measures by other members, the place at the international trade negotiating table and access to the WTO dispute settlement mechanism, which is sufficient to attract members. In the opposite way, the ”obligations” of WTO members may also be reasons for joining; Cattaneo and Primo Braga (2009) note that countries can use WTO commitments to obtain more efficient trade policies, fix the reforms of the business environment, declare their loyalty to reforms in other countries, and demonstrate a desire for international cooperation. Evenett and Primo Braga (2005) call this ”seal of approval” effect ”seal of approval” that helps attract foreign investors (p. 1). 2.3 Theories and thoughts Accession to the WTO can contribute to the growth of the economy in various ways. Trade openness promoted by the WTO can stimulate economic growth in developing countries, increasing the efficiency of resource allocation, using comparative advantages. Trade openness also provides growth at the expense of scale, affects the flow of investment, increases demand for other developing countries and provides access to resources that are not available domestically to increase the productivity of firms (World Bank and World Trade Organization, 2015, p. 19). 23). Referring to Winters (2002), interconnection can lead to trade reform, which will contribute to long-term growth and resource efficiency. Joining can also be part of policies that form more efficient and competitive markets and more transparent and predictable relationships (Winters, 2002). Another literary source is considering a revision of the policy in the WTO that is required for accession to the WTO. For example, Sauv#233; (2016) assumes that new members should pursue policies that require foreign business investors to take on non-competitive conditions, such as: to participate in the transfer of technology, to meet the requirements for spending on new research and development, to participate in joint ventures, to train and build capacity of local partners or implement corporate social responsibility programs. Many other papers explore the impact of WTO accession on economic growth, focusing on intermediate variables of trade, exports, total factor productivity, or foreign investment (Chemutai Escaith, 2017). Tang and Wei (2009) say that, in addition to the direct impact of trade liberalization on trade volumes, the WTO gives a stronger impetus to economic growth than unilateral domestic reforms, showing a much higher price than domestic policy. Also, WTO membership opens access to foreign markets, which can be used to ”buy” political support from those who were initially against these market reforms. Since WTO accession provides the will to liberalize trade, this has a stronger impact on economic growth than reform alone (Tang Wei, 2009). Usually, the WTO accession dialogue is negotiated individually, which allows developing countries to adopt commitments to their own political priorities, including poverty reduction. Institutions such as the Committee on Trade and Development, Aid for Trade, and the Fund for Trade Facilitation Agreements (World Bank and World Trade Organization, 2015) that are members of the WTO deal with the issue of poverty reduction in developing countries. Winters (2002) notes in his work that joining the WTO can alleviate poverty through long-term economic growth, but with important criteria, such as the need for market infrastructure and the protection of goods that can be clearly identified with the poor, and the importance of timing. In general, he argues that anti-poverty programs should not be focused on trade, but should fully adhere to the state of solvency of the poor in order not to distort the market and not create dependencies. 2.4 Experience of WTO member countries The United States, which initiated the creation of a single economic space, hoped to get the maximum benefit from the reduction of tariffs for its goods, in view of the fact that their economy not only remained afloat after the war but also began to rise actively (Dyumulen I.I.,2003, p.376). Developing countries also rushed to the WTO, where they gladly accepted. It was a mutually beneficial exchange: the countries-producers of highly competitive products needed worldwide sales markets and sources of cheap raw materials, while weaker states needed to import finished goods, and they had no choice but to enter on the set conditions. But there are countries that, upon joining, were able to defend their interests as much as possible and dictate their conditions. For example, the interesting experience of our neighbor, China, whose negotiations on WTO accession lasted for seventeen years. As a result, the country entered on less favorable terms than those that were specified at the beginning of the journey. However, this had no effect on the possibility of developing technological products, but on the contrary: an unforced entry only played into the hands of China, which gained access to high-tech product markets, the production of which it was able to develop over the years. China needed a market economy, so it took its place in the world. Times have changed. China crosses the river, and if the stone is unstable underfoot, the country takes a step back, and joining the WTO was just such a step towards achieving certain goals. China has placed WTO accession on a par with other policies that have created reserves. Accession to the WTO for China was only one of the experiments that succeeded. (Spiridonov A.I., 2012, p.154.) By the example of Poland, the main advantages for the economy were revealed, which can be extrapolated with certain reservations to the countries of the post-socialist space, as well as used in the process of preparing the algorithm for countries joining the WTO. The liberalization of the trade and currency regimes in Poland created conditions for free competition not only for Polish goods and services but also for capital (Glazko V.I., 2012, p.206). The competition was significantly intensified due to the fact that Polish producers had to compete both for external (export) and internal consumer. The Polish experience of entering the WTO showed that the industrial goods market has become wide open to competition with foreign suppliers, thus contributing to the high quality of the goods produced by Poland. Even before joining the WTO, the Georgian market was mainly imported, so prices on the market were adjusted slightly and did not hit the pockets of consumers. In contrast to Georgia, Ukrainian enterprises suffered heavy losses due to the inconsistency of their products with quality standards and the lack of sufficient public funds. A prominent representative is Armenia, which joined the WTO on the toughest conditions. The countries from the working group demanded that its assistance to agriculture be reduced to zero, which at that time was only $ 4.5 million a year. In the short term, Armenia's accession to the WTO did not have a significant impact on the growth of the republic's exports or on the attraction of foreign investments. However, later on, the state received considerable political and economic benefits from membership in the organization, in particular, the possibility of active integration into the world market at the expense of industries that do not require high transportation costs: information technologies, the service sector, light industry, and food industry. Also in the trade relations of Armenia and Georgia, the WTO played a positive role. Georgia pursued a discriminatory policy towards Armenian goods. Now, taking into account the membership of both countries in the WTO, the issue of equal tariffing has already become the subject of specific discussions between Yerevan and Tbilisi. The trick of the Ukrainian government regarding customs duties can be considered a positive experience. When joining the Ukrainians expected cheaper cars, given the reduction in import duties to 10%. But the Government introduced such duties only for cars with a volume of not more than 1.5 liters and limited the number of imported cars annually, thereby ensuring the demand for products of the domestic auto industry. (Delyagin M.G., 2008). In connection with such lengthy negotiations and entry into the second hundred, Kazakhstan made significant concessions, however, this also has its advantages. Consideration of solutions to problems gives Kazakhstan to actively use this experience. So Ukrainian agricultural products are constantly rejected by European companies because of the presence of E. coli. To solve this problem, the state has made the purchase of special refrigerators for the transport of milk and meat. As a result, Ukrainian products began to pass into the countries, and Ukraine soon faced a significant increase in exports to the meat and dairy industry. Based on these data, it can be said that countries faced with the problems of WTO requirements over time became stronger, turning problems into benefits. Research Methodology The methodology is the rationale for the research approach and the lens, through which the analysis of the research occurs. In other words, the methodology reveals a research strategy that helps to understand the way research is conducted. There are different methods and approaches used in the research methodology, but the main thing is that the methodology of a particular research is largely personal, depending on the nature of the research. The study includes the addition of an individual view with the views of other authors in this field, thereby supporting or initiating new ideas in the concept under consideration, also showing that each study has its own approach to solving issues bordering on the specific goal of the study. The methodology of this study consists of: the field of study, the structure of the study, sampling methods, data sources, data collection tools, data analysis, data reliability and conclusion. References World Trade Organization. (2017a). Marrakesh Agreement Establishing the World Trade Organization. Retrieved from https://www.wto.org/english/docs_e/legal_e/04-wto_e.htm. Cattaneo, O. Primo Braga, C.A. (2009). Everything you always wanted to know about WTO accession. World Bank Policy Research Working Paper, 5116. Evenett, S.J. Primo Braga, C.A. (2005). WTO Accession: Lessons from Experience. International Trade Department, World Bank Group. June 6, 2005 Winters, L.A. (2002). Trade policies for poverty alleviation. In World Trade Organization, Development, Trade, and the WTO: A Handbook (pp. 28-38). World Trade Organization. (2017b). WTO accessions. Retrieved from https://www.wto.org/english/thewto_e/acc_e/acc_e.htm. World Bank World Trade Organization. (2015). The Role of Trade in Ending Poverty. Sauv#233;, P. (2016). Life beyond local content: Exploring alternative measures of industry support in the context of WTO accession. Indian Institute of Foreign Trade, Journal of International Trade, 1, 1-29 Chemutai, V. Escaith, H. (2017). An empirical assessment of the economic effects of WTO accession and its commitments. WTO Staff Working Paper Tang, M.K. Wei, S.J. (2009). The value of making commitments externally, evidence from WTO accessions. Journal of International Economics, 78.2, 216-229. Glazko V.I., (2012). The crisis of agrarian civilization and genetically modified organisms.: PANOVA. Dyumulen I.I., (2003). World Trade Organization. M .: "Economy". Delyagin M.G., (2008). From the CIS to the WTO: the way of the post-Soviet space // Independent newspaper. №4. Pp. 18-21. Spiridonov A.I. (2012). World economy. M.: PRIOR.