No, you don't understand the basics. I'll tell you in brief.
Capitalism works but it has to be combined with social responsibility to the people. America's capitalism doesn't have that, on account of corruption and other reasons. But capitalism as America knows it has passed it's time because of the need to share the wealth more evenly. There can't be billionaires while others in the world are starving.
China has addressed the issues of the 21st. century by adopting a system that uses the advantages of capitalism, while sharing the wealth gained.
We'll leave it at that for now until you demonstrate a rational reply too show that you want to learn more.
Forget the stale old US talking points.