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The term "socialism" was created by Henri de Saint-Simon, one of the founders of what would later be labelled "utopian socialism".

By contrast, Robert Owen proposed the organization of production and ownership in cooperatives.

The modern definition and usage of "socialism" settled by the 1860s, becoming the predominant term among the group of words "co-operative", "mutualist" and "associationist", which had previously been used as synonyms.

The term "communism" also fell out of use during this period, despite earlier distinctions between socialism and communism from the 1840s.

An early distinction between socialism and communism was that the former aimed to only socialise production while the latter aimed to socialise both production and consumption (in the form of free access to final goods).

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