The 35-year-old will be playing in his last derby game against Everton before he retires at the end of the season and feels the proximity to their rivals makes the clash more intense.
Carragher told The Mirror: "If I could only win one game every year it would be the derby without a shadow of a doubt.
"I totally get the Man United/Liverpool thing but for me playing Everton is bigger. If you get beat by United the fans are 40 minutes down the road, but you can't get away from Evertonians.
"Also Everton love beating Liverpool more than we do beating them. Knowing how much they want to win makes you even more determined. It was like that when I was a kid. I just wanted to beat Liverpool."
Liverpool and Everton face off at Anfield on Sunday.