The importance of definitions.

[vanbean]

It has been said on DU and other websites that we need a concise definition of socialism. For example, police and fire departments are elements of socialism, along with many other entities.

But I was thinking yesterday, that we also need a clear definition of capitalism. In both cases (socialism and capitalism), the definitions should consist of what is acceptable and what is not.

In a mixed economy, the choice of one or the other should depend on what works best for the given application. The manufacting of shoes should not be a socialistic application, as the lack of competition would make for an inferior and more expensive shoe. But in the case of a shared infrastructure, such as highways and health insurance, it is clear to be applications of socialism. An element of capitalism today is that individuals are allowed to make money from interest alone. That should be heavily taxed as it doesn't produce anything other than capital.

Why is that so hard for Americans to understand?