Lenin undertook his detailed study of Imperialism: The Highest Stage of Capitalism in 1916, basing it on the research of an English economist named Hobson. His analysis continues to explain what is happening in the world today as we enter the 21st Century.

Lenin saw capitalism evolving into a higher stage. The key to understanding it was an economic analysis of the transition to monopoly: "...imperialism is the monopoly stage of capitalism." As Lenin would point out in another article written in 1916 (Imperialism and the Split in Socialism), imperialism was a new development that had been predicted but not yet seen by Marx and Engels.

Lenin provides a careful, 5-point definition of imperialism: "(1) the concentration of production and capital has developed to such a high stage that it has created monopolies which play a decisive role in economic life; (2) the merging of bank capital with industrial capital, and the creation, on the basis of this "finance capital", of a financial oligarchy; (3) the export of capital as distinguished from the export of commodities acquires exceptional importance; (4) the formation of international monopolist capitalist associations which share the world among themselves, and (5) the territorial division of the whole world among the biggest capitalist powers is completed. Imperialism is capitalism at that stage of development at which the dominance of monopolies and finance capital is established; in which the export of capital has acquired pronounced importance; in which the division of the world among the international trusts has begun, in which the division of all territories of the globe among the biggest capitalist powers has been completed."

the bourgeoisie are increasingly compelled by a falling rate of profit to use their dominance of the state apparatus to open new markets or access to resource extraction