The problem with buzzwords like "capitalism" and "socialism" is that most western countries are a combination of the two.

Britain, for example, has socialized certain public-welfare functions, but also has a free-market economy with production largely in the hands of private companies rather than under the control of the government.

So I think it's more productive to debate specific points of policy than to get caught up in misleading and reductive labels, particularly when they're bandied about as an easy excuse to not respond intelligently to the points someone else raised.