You're talking about social democracy, capitalism with safety nets. Socialism is neither safety nets nor taxation, but a mode of production centering public ownership as the principle aspect of the economy. All of the European social democracies rely on imperialism to support these safety nets, they are closer to global parasites than a closed, self-sufficient system.

Socialism, as found in the USSR, PRC, Cuba, etc has resulted in dramatic expansions in personal freedoms for the working classes.