I think what many seem to miss is that if you abandon people at the bottom they don’t contribute to the economy. Notably they don’t make the purchases required to boost the economy. That is before we even consider any contributions in the form of work
People don't miss that. People misconstrue it and repurpose it.
How do we construct self-worth? We attach it to our contribution to society.
How do we measure our contribution to society? Through wealth acquisition, through output and through comparison.
How does comparison work? Well, we look at what others do and how others live and we position our worth accordingly?
Who sets the standards of worth? In the UK, the press and media are the prime setters of worth. In Iran it is the church. In an Amazonian tribe it is the village elders.
So, we label the weakest in society as worthless as this empowers us. The press realise this and amplify the messaging. A populace empowered by hatred of weakness and otherness buys more papers and ensures taxation and policy primarily values wealth as strength and worth.
The more we value wealth as strength and worth, the less care we apply to the weak, the more we blame the weak for their situation, the less we are willing to help them. Therefore, they have less to contribute, as a society we become weaker, but our perception of self is hardened and affirmed.
The outcome? The rich are not held accountable. Why would they be? Wealth validates them. The populace are not held accountable as they work and have money. The poor are accountable for their poverty as they are weak and undeserving. They probably drink. They are probably illegal immigrants. The very act of depriving the weak from aid perversely justifies my middle earning existence. I don't need to question my place when there are people beneath me.
So, we understand we could help the poor. We understand that a wealthier bottom end of society enriches us all. We just choose to ignore it as it gives us an outlet for our anger and frustration.
Edit: Anger and frustration are also a form of sedation. Why act when I can enjoy my moral rage quietly in front of the television?