I would argue that the red tape is not so bureaucrats can make more money, it's that Americans have a very, very strong aversion to seeing people benefit from social programs that they think are undeserving. So we put all of these hurdles up to make things 'fair'.

Just look at the difference in outrage between when there's some story of someone on public assistance buying something like smartphone, vs the reaction when we found out about all of the businesses abusing the PPP loan system. Or the fact that many of the PPP loans were forgiven.

It's like as a country we're fine with wealthy people abusing the system. But then we turn around and would rather let 100 deserving people struggle just so maybe one person can't get a free ride.