While reviewing the album and describing the song as the point where "things start to pick up," John Capone of Prefix Magazine described the song as a "three-Xanax-and-gin-martini-cocktail broken-hearted baroque ballad." Angela Okhumoya of Addictmusic showed appreciation for Del Rey's writing abilities on "Carmen" stating that it is "better than most of her contemporaries." Dom Gourlay of Contactmusic gave the song a positive review, stating "You want hip-hop beats? Check. Noted as a cautionary hint of any downside to such a debauched lifestyle that Del Rey portrays on her album, Andy Gill of The Independent describes the song as a metaphor used by Del Rey for her "synthetic life experience." Alex Denney of NME described the song as "a winner" with Del Rey’s richly suggestive tones conjuring the ghosts of Lauren Bacall’s classic femme-fatales. "Carmen" was acclaimed by most critics for its ability to tell a story and haunt with its intense lyrics of the downside to fame. An a cappella concept demo of the song leaked in early 2012.
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Ī demo version of the song, solely produced by Parker, was posted to Del Rey's SoundCloud page on May 23, 2010.
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Del Rey told Complex that the melody and the lyrics of "Carmen" "come together". In an interview for The Sun, Del Rey revealed that the song was about "a doomed woman who sells her body on the streets" of Coney Island, which Del Rey viewed as an "important to " throughout her career in New York City. "Carmen" was written with Justin Parker and produced by Emile Haynie with additional production by Jeff Bhasker and Parker.