I remember a teacher in college that spoke of the two systems and he said that both have serious consequences, they are destined to fall.
Socialism tend to give the people the same resources even though their professions are different. Why becoming a lawyer, a doctor or an engineer if you are going to get the same as a janitor or a waiter in a restaurant?. This system rarely gives economic rewards unless you are incredibly good and lucky. Socialism misunderstands the word "equality". This ins result makes people want to leave the country in search of a better life. or a less desire to go beyond because you will get nothing from it. By having the wealth spread the same the risks of tax increase comes and the inflation rates can reach the sky.
Capitalism, on the other hand, while more rewarding it gives green light to exploitation. In many cases you don't get what you worked so hard for, and you get more money not because of what you know, but on who you know applies perfectly. by having the wealth on a very few there comes a risk that is these hands fail the rest of the world falls. It makes the economy more fragile and less flexible to changes.
My teacher suggested that the solution lies in "proportions", a bit of capitalist with a bit of socialism. but to take this from theory to practice is impossible. because the human factor is the problem.
