“[T]here is no one answer as to ideal ownership structures. In the real world we need a mixed economy. Some things (natural monopolies like health and education if the benefit is to be universal) have to be state run. Others, such as coffee shops and a vast array of small businesses need no state involvement at all: the only job of the state is to encourage such enterprises.”
This is the missing piece. Not either/or, but rather which parts of both, along with new approaches (co-ops, p2p, etc.). It’s time to get creative.