What is the meaning and Characteristics of Monopoly Capitalism or Imperialism

Monopoly Capitalism (Imperialism)

Imperialism is the highest stage of capitalism. Generally, Imperialism is the foreign policy of big capitalists countries which based on crossing of one's boundary to another backward country for extending power, maximization profit and exercise of political influence through military force or by acquiring colonies. Monopoly capitalism began when free capitalist enterprises reached their climax in 1860's and 1870's.




Characteristics of Monopoly Capitalism.

• Concentration and centralization of capital in few hands because of the economic slump of 1873. The few capitalists who survived combined their capital to form big monopolies.

• The merging of monopoly and industrial capital to form financial capital. In a situation of competition only these enterprises which combined money and production survived.

• Export of Capital. It was the result of concentration, centralization and combination of industrial capital and banking capital to form financial (oligarchy). They need to export capital arose. Therefore expansionism became an important and crucial to monopoly capitalists.

• Formation of international capitalist monopolies which divided the world among themselves. These monopolies first of all divided the market between themselves. When their profit outgrew, monopolies started close its border to different countries for control of foreign markets, sources of raw materials and spheres of capital investments.

• Territorial division and re-division of the world among the imperialist nations. The division of the world among capitalist powers was completed by 1870's and every part of the world was already been taken.