Stay alert! Trust no one! Keep your laser handy!
I also think that Communism is still alive. France has a Communist party.
Okay, bad example.
However, isn't Socialism essentially "baby Communism?" Pretty much all of Europe is socialist, and the U.S. is starting to lean that way too.
You know what always bugs me, people who make out that communism is an inherently flawed ideal. Maybe full on communism might be but then again a completely capitalised system is worse. At least the communistic one would be trying to work well and for the good of people as a whole.
The real problem is with human nature. Humans are naturally self-serving, even at the expense of others; this of course directly conflicts with the core of Communism (from each according to his ability, to each according to his needs.) As a result, some corrupt individual or individuals (like Joseph Stalin) always seems to worm their way to the head of the Party (as with most things political.)
As for Communism not being inherently flawed, I respectfully disagree. In order for it to work, whoever's in charge of allocating goods must place everyone's needs before his/her own, and must also know exactly what everyone needs, and what everyone is capable of. The system would work if we had some perfectly benevolent, all-knowing leader, but seeing as no human meets this criteria, I'm not going to be holding my breath.
Capitalism is based upon the idea that people know what they need and are generally capable of taking care of themselves. Although I am not for a Social Darwinism system, I believe that Capitalism is the model that works best with the nature of humans. After all, Capitalism is focused on the individual's needs, and the "common good" is really just the summation of all the individuals' needs.
Also, good intention does not solve the problem. If I need an organ transplant, I would rather be operated on by a qualified physician who doesn't really care for me as a person than by my best friend who knows nothing whatsoever about medicine.