I'll throw my two cents in. Both capitalism and socialism have their place in society. Look at the nordic countries. They have a very nice balance of socialism (their particular flavor) and capitalism. Regulated capitalism has its place in the market place. Socialism is necessary to catch those who simply CAN'T get their head above water. The free market isn't some magical place that allows everybody to be employed and rise to the top. An unfortunate side effect of capitalism is that somebody (most people) MUST be at the bottom, and sometimes the bottom can be an ugly place.
Let's not forget that the middle class is not a natural effect of capitalism. At least in the U.S., it has been engineered time and again by the government. Without redistribution of wealth and the minimum wage, most Americans would be living at or below the poverty line.
In the end we must ask ourselves which is more important: Freedom of choice, or taking care of other humans, ensuring that nobody is forced to suffer beyond what is reasonable.