In communism and socialism the economy is planned, i.e. the government takes care of investment, and the distribution of goods depends on principles of equality. Capitalism, on the other hand, is based on free market, free trade and free initiative. Both the Oxford Dictionary and Britannica define capitalism in relation to economics, and this is of course essential in relation to this topic. When Karl Marx criticized capitalism, he proposed an alternative understanding of economic systems. But at the same time, capitalism is much more than a system which can be described in terms of economics and finance.
Capitalism has a sibling in political philosophy called liberalism .
Liberalism is the philosophy defending a minimalist state, as little governmental interference as possible and freedom of the individual. When certain basic rights such as the rights to private property and physical safety for individuals are protected, the government and its laws should not interfere, liberalism says. Material and economic conditions de facto shape our thoughts and our society. Whether you defend capitalism and neo-liberalism or not, it is a fact that this is a result of decades of capitalism in the world. The salaries in poorest countries in the world are 60 times less than the average salaries in the richest countries.