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Critical theory is the reflective assessment and critique of society and culture by applying knowledge from the social sciences and the humanities. As a term, critical theory has two meanings with different origins and histories: the first originated in sociology and the second originated in literary criticism, whereby it is used and applied as an umbrella term that can describe a theory founded upon critique; thus, the theorist Max Horkheimer described a theory as critical insofar as it seeks "to liberate human beings from the circumstances that enslave them."
 
In sociology and political philosophy, the term "Critical Theory" describes the Western Marxist philosophy of the Frankfurt School, which was developed in Germany in the 1930s. This use of the term requires proper noun capitalization, whereas "a critical theory" or "a critical social theory" may have similar elements of thought, but not stress its intellectual lineage specifically to the Frankfurt School. Frankfurt School critical theorists drew on the critical methods of Karl Marx and Sigmund Freud. Critical theory maintains that ideology is the principal obstacle to human liberation. Critical theory was established as a school of thought primarily by the Frankfurt School theoreticians Herbert Marcuse, Theodor Adorno, Max Horkheimer, Walter Benjamin, and Erich Fromm. Modern critical theory has additionally been influenced by György Lukács and Antonio Gramsci, as well as the second generation Frankfurt School scholars, notably Jürgen Habermas. In Habermas's work, critical theory transcended its theoretical roots in German idealism and progressed closer to American pragmatism. Concern for social "base and superstructure" is one of the remaining Marxist philosophical concepts in much of contemporary critical theory.

Postmodern critical theory politicizes social problems "by situating them in historical and cultural contexts, to implicate themselves in the process of collecting and analyzing data, and to relativize their findings."

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