Now, quite apart from the fact that, from the point of view of the Earther, socialism suffers the devastating liability of only exhibiting internal contradictions when you are trying to use it as an adjunct to your own stupidity {unlike capitalism, which again, from the point of view of the Earther, happily has them built in from the start}, it is the case that because Free Enterprise got there first and set up the house rules, it will always stay at least one kick ahead of its rivals.
The passage asserts that, from the perspective of those on Earth, socialism reveals its flaws primarily when it's misapplied, contrasting with capitalism, which inherently contains contradictions. This suggests that socialism's effectiveness is heavily dependent on the intelligence and execution of its advocates, whereas capitalism presents its challenges from the outset.
Moreover, the text emphasizes that Free Enterprise, having established the foundational rules of the game, maintains a competitive edge over other systems. This implies that the early advantages gained by Free Enterprise create a persistent imbalance, allowing it to stay ahead of alternative economic systems like socialism, despite their potential merits.