There are a small percentage that abuse the system, but not many and most view it as an acceptable price to pay for a social security net. To receive it you have to do so many hours of community service after a number of weeks, which minimises abuse of the system. But then we also have free medical if you need it to. If you're really on the skids the government will provide housing even. I believe this is the same in the UK and some other european countries, the UK is where we got it from.
The total laissez-faire system has it's up and down sides, which really aren't necessary in the 21st Century imho.