Chapter in the book (a university textbook of political geography). The Chapter is divided into three parts. In the first part, the origin and spatial development of the world-economy - or the colonial system - is traced from the mid-15th century till its dismantling in the mid-20th century. In the second, the legacy of colonialism for contemporary society, economy and politics is discussed, as well as trends contributing to differentiation of the post-colonial world. In the third part, the changes of the discourse of development are introduced through the changes of paradigms of development studies.