What does this have to do with capitalism? There are people who are not well off in ever society. Homeless people existed in Feudalism. The Bible tells people to leave the corners of the fields for the poor. In authoritarian and communist societies, they're put into work camps or just executed.

Most cities in the US/EU have shelters. This is a solution to keep these people from shitting up public spaces and into said shelters. There are some people on the street who genuinely have hit hard times, or that want to get out of their drug addictions and that's sad. But it's a tiny percentage. Most people out there have been shitty to ever friend and every family member and they're on the street due to their personal choices. Capitalism is about freedom to chose where you work and who you give your labor too.