Why do Americans confuse social democracies with socialism?

[Knowledge Is Power]

Social democracies are capitalist countries with higher tax rates for the purposes of social programs such as universal health care.

Social democracies still allows ownership of land, still can create private business, still have the poor, rich, middle class, can choose jobs, we live by supply and demand and markets. There are McDonalds here.

Social democracies are first world countries just like the US and knowing some people think otherwise is mind boggling..
I see democrats defend socialism when they are really defending social democracies and I see republicans call everything socialist when its social democracies they re referring too. both are foolish.