By pure definition in a Capitalistic Society - The People own all the businesses and government provides no services to the people.  Government would run only the police, military for safety and security and would also tax very little.

In a Socialist Society - the government would own all the businesses and would provide all the services like education, health care, food, shelter to the people.  Government would also run the police and military and would not tax, just collect the income from the businesses.

America is Neither Capitalistic or Socialistic - And I am sick and tired of people using the wrong terms to descibe our economic system.

As under Capitalism our businesses are owned by the people - but through contributions our large corporations and businesses also run our Government - Unless you donate millions to our elected officials they will not have private dinners with you, you will not sleep in the white house and do not have the cell number of any members of congress.  You are powerless.

With high level access to government officials you can get favorable conditions and environments for your business, tax breaks, special contracts, normal people just keep paying taxes and are basically ignored.  In this way we are not a real capitalistic society.

Government also provides business with a backstop - make bad loans and here comes taxpayer money to bail you out - build cars no one wants and the government will be waiting with a check.

How could this happen in a capitalistic system - it could not - we must remember it was the free market, do not regulate programs that caused Old George Bush to crash the Savings and Loans and wipe out the FDIC and then bail the savings and loans out.  Later Young George Bush did the same thing to the banks and then bailed them out.  Then Obama bailed out the auto industry and the insurance industry.

Even now with interest rates charged by the fed at 0 we are further bailing out the Banks and they are still losing billions each month.

So we are not Capitalistic by a long shot - we are not Socialistic by a long shot.

I love hearing people blame Obama for being Socialist - America has been socialist starting with the Great Depression and have become more like a socialist government every four year term of president ever after. Yet in our hearts we are still capitalistic.  Much like China right now, that has a Socialistic base, but allows a great deal of entrepreneur ship and many private companies flourish in their system and are taxed in their system.  China even established an entire "New Provinces" zone just for capitalistic private companies to operate.  The USSR is even turning over many Government run companies to private ownership to gain much needed capital.

What we are is a Government owned by the businesses - and a government that provides welfare for the people and the businesses.  As long as our elected officials are required to collect huge contributions (Bribes) to do the bidding of business we are just what we are.

A MESS!