Someone please explain for me the difference between socialism and capitalism; is either beneficial? how?

Homework , dear ? Welcome to EP University !!

I think Intrepid has a good answer, but I would add that by "community", she means "government". The government owns and controls everything in the name of the "people" or "community". "Central planning" in socialism means "government" does the planning. I think socialism is a wonderful concept, but absolute power corrupts absolutely in any system....and it always will... because that is our nature.

These are all great explanations but may not resolve your question. The reason the terms are so confusing these days is that people are using the term "socialism" as a political sound-bite. The reality is that all forms of government on the planet currently employ a combination of the two economic models, because any pure form of either would be a lousy place to live unless you are in power. Whenever you hear anyone in the U.S. using the term "socialism" these days, you should be immediately skeptical of their political motivations. All our state-run social programs (social security, medicare, welfare, unemployment, etc) are forms of socialism. TAXES are a form of socialism.

This term often comes up in political debates about whether the U.S. government should bail out banks and large companies that are failing - the government steps in with public funds and oversight in order to provide for the common good.

Somehow the bourgesoise (rich and in power) in this country have convinced the proletariats (average "Joe the Plumbers") that government intervention is bad, because it is "socialism". Amusingly ironic. Those who would not be harmed by these failing banks want you to believe that they will help you out by "trickling down" their wealth. What a great visual...

Capitalism is a byproduct of trying to strive, Socialism is a byproduct of being told how to stride....both are failures in my estimation as capitalism assumes everyone is equally capable physically and emotionally, and socialism thinks everyone is incapable physically and emotionally....from there you get into the ownership aspect, and whether decisions are best made by the individual or the government. Once upon a time in America, we were a galvanized nation, during WW2 it was patriotic to scrimp and save copper and the like for the war effort. It was a collective effort, and most people did it out of love of country, along with some prodding by the government. Today that would be called, "socialism", as there are those who feel the government has no business in dicatating how people live, while there are others who want the government to dictate everything. I have been a government employee and a small business owner, and I KNOW the two are mutually exclusive...guess which one gets the job done and does it efficiently and with QUALITY concern, and which one doesn't......is there an answer...no....we have a melding of the two right now, with a decided slide into socialism.....left to their own devices most people in America will spend beyond their means, waste what they have and generally ignore the common good. And why not, that is exactly how the government works....