Where I think you have it wrong is in believing capitalism is liberty, it isn't. You look at any country which right now is part of the first and developed world and it's a country that has preyed on the natural resources of weaker states. And the same applies to individuals. The stronger will live off of the weak as has always happened, there is no such thing as liberty, you might think you have it but you don't, for example try going to another country without a passport, there you can see there is no freedom of movement you have to pay for it, or open a business lots of paperwork and fees, a poor person cannot travel unless he does so "illegally" . Capitalism is just as bad as any other form of government, maybe worse, because in capitalism one person or group manages to control every single aspect of the production of a country or state that is OK, because he is exercising "freedom" so apart from actually screwing the people you are also lying to them by implying they are free. But just as in socialism or any other form of government what happens is a small group of people actually control everything. Better said in fact we all live in totalitarian states, where you only change the name of the government which might be socialist, "democratic", monarchy, fascist (most countries are actually fascists but refuse to accept this) but we are all governed by a very small group of people who actually reap the benefits.
You might have the fortune of being from one of the rich countries were at least you have been able to attain a certain high level of living (better said a consumer society where you can fall in debt buying stuff), but if you were from a poor country I can assure you your view of capitalism would be very different.
RE: Why Do People Love Socialism?