possible to formulate a rather precise definition of socialism.
Leaving until later the distinction between the chief socialist
groups, we may say that the following definition covers all who are
strictly socialists: Socialism is an economic theory which aims to
abolish the capitalistic system, and to substitute for it "a system of
collective ownership and democratic management of the socially
necessary means of production and distribution." In rather more simple
language, socialism intends that all income-producing property shall
be owned and directed by the state. The state is to own and operate
land, factories, workshops, railroads, and all other means of
production. Private property and the competitive system are to be
abolished. [Footnote: Socialism does not seek to abolish the private
ownership of food, clothing, and other forms of consumers' goods, yet
both socialists and non-socialists accept the unqualified statement
that "socialism seeks to abolish private property." because it is the
private ownership of producers' goods rather than of consumers' goods,
which constitutes a cornerstone of the capitalistic system.] All
business is to be conducted by the government, and all persons are to
be employees of the government. The distribution of wealth is to be
directed by the government.

123. RELATION OF SOCIALISM TO OTHER RADICAL THEORIES.--The terms
"communism" and "socialism" call for careful distinction. What is now
known as socialism was formerly known as communism. For example, Karl
Marx, the founder of modern socialism, called himself a communist. His
followers later abandoned the name, and began calling themselves
socialists. Still later, during the World War, a group of Russian
socialists, popularly known as the bolshevists, revived the term
communist in the sense used by Marx. Strictly speaking, however,
communism is generally thought of to-day as a type of small community