Which is better at innovation, Capitalism or Socialism?

In capitalist economies the profit motive is a good encouragement toward invention and innovation. However, in socialist economies the citizens who must exist on "the smell of an oily rag" must innovate to survive. The "reduce reuse and recycle" philosophy becomes an integral part of life. On a macro level, the ruling cl don't have to innovate as they can live like lings by exploiting the system thus no innovation. See how the west and east developed before the fall of the wall.