Which term characterizes a derogatory or critical imitation in literature?

The term that best characterizes a derogatory or critical imitation in literature is parody. Parody involves the imitation of the style and manner of a particular writer, artist, or genre with the intent of comedic effect or criticism. It takes recognizable features of the original work and exaggerates them to highlight perceived flaws or absurdities, often in a humorous manner.

While sarcasm, satire, and irony can all share elements of critique, they serve different purposes. Sarcasm is often a spoken form of verbal irony used to mock or convey contempt but is not specific to literary imitation. Satire also aims at social or personal criticism but does so through ridicule and exaggeration in a broader sense, often addressing serious societal issues. Irony, on the other hand, revolves around a discrepancy between expectation and reality, lacking the direct imitation aspect that characterizes parody.

Thus, parody specifically encapsulates the idea of a critical imitation in literature, making it the most fitting choice for this definition.