I just burst into raucous laughter, mostly from my own shock at realizing that that the idea is potentially practical.
I've always thought of government assistance on a large scale as the kind of thing that will seriously damage a country if allowed to continue indefinitely -- by creating economic incentives not to work. [See: Sweden]
I'm not sure it has to work that way. Between food technology and plateaus in first-world population growth, sustenance and covering could probably become as cheap as we are motivated to make them, for some definition of "sustenance" and "covering."
I think it's obvious that society is better off if people work. But society is also better off if the people who work work harder, and only Ayn Rand fans walk around the office glaring at the dullards dragging society down. ;)
In a way, those who really don't want to work are holding a gun to their head and demanding money. If we don't give it to them, then we'll have to get the blood out of our carpet, which will cost more than the few dollars they are asking for. If there were no risk of this, there would be no blood to clean up and thus no reason for social programs to exist. (Those who can't work are already bleeding, and the assistance is intended to keep their situation from worsening expensively).
The people that don't want to work are doing something that I would find morally wrong. But I'm doing something that others doubtless would be troubled by: I work three months out of the year, saving my money, and then live off of that money for the rest of the year in a third-world country. I've had people angry at me for not spending all of my money in the US; others feel it's short-changing society to minimize the amount of work you do for money. Nonetheless, I'm at least paying with my own money, and society is net richer.
From the standpoint of a person, I think that being a parasite is morally questionable.
From the standpoint of society, however, maybe it makes sense to subsidize some level of determined laziness. I can vaguely imagine that under certain circumstances and with sufficient disincentives, such a thing could be a net win for a society.
It seems societally risky, though. ;) Better to "officially" not support such a policy, so you can jettison it if its effects get out of hand.