>>11209581In Capitalism, investment is not centralized. Investment capital comes from many sources, and there are countless investors making decisions. The diversification of capital limits the consequences of any single decision. It makes capitalism vulnerable to cycles and fads, but devastation is not the same as annihilation. It can and (and regularly does) recover from devastation. But the emphasis is on what the investment process can recover from, not the havoc that the devastation might cause to the public.
Socialism places confidence in the state, and control of the state in the hands of the public. The public as a whole has an understanding of what it needs but is not sensitive to the price paid. The state, then, must either abide by the will of the many or make investment decisions regardless of the public will, but for the good of the public (or at least what the state regards as their good). Since the state is an abstraction, the decisions are actually made by state officials. Given the vastness of the decisions made by the state, it must devolve to an army of civil servants who individually hold minimal power, but who collectively would take the place of investors, unbound by the demand of self-interest.