That depends greatly on how you define capitalism.These are all your opinions. There's nothing that you've presented that demonstrates these claims to be true.
Capitalism is becoming more widespread and relevant, not less. Free markets are, demonstrably, the best possible economic system. It's lifted over a billion people out of extreme poverty and into modernity over the last two decades.
Capitalism’s Triumph, by Michael Tanner, National Review
In my opinion you're laying the evils of the State at the feet of capitalism. Give me some examples where capitalism no longer works.
I mean...the rest of your post is just very typically leftist "tough talk". People don't want more government. They want jobs, they want a rising standard of living, they want to keep more of their money, they want more purchasing power. Capitalism provides these things. Statism (and yes, Communism is a statist system, by definition) does not.
You may think these Communist ideas are trendy and cool and cutting edge. They're not. They're fevered mid-19th c. pipe-dreams from a man who threw his own employee out on the street after he knocked her up and then turned around and demagogued about the oppression of the poor (by the people providing them jobs and wages).
He misidentified the villain -- the State is the enemy. All forms of government are corrupt for reasons I already mentioned to you.
Most right wingers define it as unfettered capitalism, which has been shown time and time again to be a monumental failure. In fact it was one such failure that inspired Marx in the first place.