I lived in the inner city most of my life before moving to a quiet little town in Tennessee. I have also lived in one depressed rural areas where unemployment is high as well in central PA. While what I have is purely anecdotal, I have seen first-hand in these areas welfare fraud so prevalent that it is virtually institutionalized fraud. It is so ingrained in the culture that people believe that they can just sit around and be paid by the commonwealth indefinitely with never a thought about where the money comes from. I'm talking 3rd generation welfare recipients that are born and raised into a culture where a job is something someone else needs to eat and live.
The reason I don't get bent out of shape about it is two-fold. First, given that these people are essentially the product of a failed "nanny state" initiative, it is not their fault - it's the fault of the government and society at large that created the dependency in the first place. Secondly, census data shows that at any given time, there are about 1 to 2 million welfare recipients in America. While that's probably too many, given that it's less than 1 percent of the country's population and a great many of that number are certainly not abusing the system, the number almost ends up being too small to worry about.
“The greatness of a nation and its moral progress can be judged by the way its animals are treated.” - Mahatma Gandhi