DBWI: Communism or Capitalism: Which one works better?

Historically speaking, which of the two main forms of state worked better?
Communism, organization around communities , meaning government is devolved into sovereign localities with their own rights and obligations?
Or Capitalism, organization around a capitol, meaning most if not all political power is held by a central government?
Discuss.
 
It depends on the country. The size and diversity of The American Commowealth made Communism make far more sense compared to nations like Britain or the Kingdom of France, but Zhongguo is just as big and they're about as ideologically capitalist as it gets. Similarly, Zipangu seems like a prime candidate for Capitalism seeing that it's basically the Britain of the East (small maritime island nation with a beastly navy), but when Perry opened the country up in the 18th century, the Warring States period was going on, and while they grudgingly united to deal with the new threat, the political divisions persisted to the present day, even if the country is nominally "united" (and thank goodness, it's hard to imagine Tokyo still becoming the avant garde, free-wheeling, socially tolerant paradise it is today while having to compromise with some of the more backwards, militaristic regions)
 
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