There are a few other things that happen also.
One, NO accountability exists. The people on the govt doll can do whatever they want. In private charities, they usually make certain requirements to be able to receive benefits. Like, go look for a job. Dont use drugs, drink etc. Actually spend the money on food and shelter, not drugs and booze.
Also, when people receive from the govt, they get a sense of entitlement, the Govt is "suppose" to take care of us, hence, no gratitude. Is that what you meant by resentful?
THird, the courts and the ACLU, American civil lying union, get involved, and do not allow any sort of religion to get involved. A lot of private charities encourage church participation by the beneficiaries, and this often leads to wholesale life changes, for the better.
Excellent points, LuvRPgrl! There's an old saying - the origin of which I've never been able to track down - that goes: "Charity without self-determination leaves the recipient contemptuous of the giver". I consider it one of the universal truths of human nature.
When the undeserving have their way made for them, they must - on some level - find justification for this. They can search their souls, and find ways to improve - or they can spew hatred and contempt toward the giver. Not having been forced to take stock of themselves, and how they came to be in needy circumstances to begin with; not being urged in any way to haul themselves up; in short - having been allowed to dodge self-determination in all its possible forms - they invariably take the easy way out: despise the giver.
I've often thought that this is the reason the French hate us so. We went to a vanquished, undeserving nation, and said, "Presto - you're a world power!" I don't think they've ever forgiven us for it.