Capitalism is a great tool; it's a horribe ideology. Like any tool it needs to be used wisely and with control. It shoud not be allowed to run rampant. You don't start up a nuclear reactor and expect it to control itself.

The trouble with capitalism is that we have allowed it to become synonimous with democracy. It is not. Capitalism needs to be under the control of the people, not vice versa. 

For an interesting bit of research you might want to look up market socialism. If the word socialism scares you, put on your big boy pants and give it a look. It's an interesting idea that borrows the concept of competition from capitalism and applies it to socialism. Would it work? Dunno. But it shows there are other ways of seeing in economics. Instead of either/or, we might need to consider some kind of hybrid.