I think socialism might be just that bad because, well, when you give power over to the government, eventually a total douchebag will be elected, appointed, or otherwise come into power. And then he passes some legislation that pretty much screws everyone over.
There's also the fact that with socialism, the regulations that are made tend to treat everyone equally in every regard. Fact of the matter is, people aren't completely and totally equal. I know that usually, I can't write worth crap, and my art skills are... lacking, in my opinion. I know people who can't do certain things as well as I can, but can blow me out of the water in other regards. Regulations passed in a socialistic regard probably won't account for some of the differences in people, and many won't get to realize their full potential because of it.
There's also problems with all the greedy people - y'know, the ones with the drive to earn all that money - who want to not share money that they earn from having some brilliant and highly marketable idea. So they'll take their brilliant and highly marketable idea elsewhere, keep their money, and the people living under socialism are worse off for it, if just because they miss out on whatever the idea was.
Just my thoughts, and I'll explain them if need arises. I know that my thinking isn't perfect, but neither is my comprehension, so if you point out an error, please do so in such a way that your average moron on the street could understand it.