Socialism works pretty well in Scandinavia (understatements may be present).
Lot's of dictatorships have called themselves "socialist", maybe you are confusing the term?
Capitalism and socialism works exceptionally well hand-in-hand.
I think, to put it short, the middle path is the right one: partway socialist, partway capitalist. The capitalist side has had an upswing in Sweden recently, and the development it started is noticeable. Socalism can and does lead to stagnation, while capitalism can and does lead to overexploitation.
I wouldn't call countries with strong property laws socialists because of their welfare programs. After wall socialists want to abolish property (as the comment I replied to mentions). Unless you're talking about some Keynesian welfare state "socialist". As to your comment on the dictatorships... https://i.imgur.com/41fsQ9z.jpg