Capitalism and socialism are formal economies. The major differences between capitalism and socialismrevolve around the role of the government and equality of economics. Capitalism affords economic freedom, consumer choice, and economic growth
Capitalism is an economic system that is based on the ownership of trade and industry by private owners for profit as opposed to the country's trade and industry being controlled by the state. Socialism is group of economic and social systems that are defined by the ownership by society and democratic control of the country's trade and industry. Other things associated with Socialism are the political theories and movements. Hope this helped! Cheers,Izzy
