The Government have a responsibility to represent and look after its people in a manner that the people agree on. The Government doesn't have any obligation to give out "free money" or set a higher standard for cheap labour, unless if the people agree that the benefit outweighs the cost in taxes.
Personally, I think America is in a tough spot. It's because of your lower wages that products are so incredibly cheap, which leads to big increases in exports and general sales. Sure, it's absolutely horrible what some people are living off, but I'm not sure how much the economy will suffer if you begin to increase wages and therefore product prices. The important thing right now is that there are more jobs, not high wages, because at least that way people are making *some* money and are able to survive to some degree.