It all boils down to the fundamental concept of giving something to someone for free (not a personal gift).
Giving someone something they did not earn, and to which they feel entitled, diminishes and demeans the person receiving it.
Working for something gives value to it, and ensures the person will use it wisely, be it a car, or money.
All of these things are based on the fallacy that long-term gifts of other people’s money helps people in need. It hurts them more than it helps, and they often don’t even know it.
It is corrosive and destructive to both the person who receives it and the person who gives it.
You are totally correct.