You're stating "capitalism" as if this is somehow a well defined word and as if it's statically implemented in that particular way in the system you have in min

You're stating "capitalism" as if this is somehow a well defined word and as if it's statically implemented in that particular way in the system you have in mind. There's many shades of capitalism, communism, and all sort of -ism along a multidimensional space of economic principles. The economic system in the US isn't straight up capitalism. Each locale, county, state, is different and many aspects of society are not strictly capitalist. Plenty of govt regulation and intervention goes around. Plenty of well functioning developed countries have similarly heterogeneous mixes of economic styles, with social or private healthcare, housing, income, utility, business regulation, etc.