I hope you were being sarcastic on that one. That allowance is the only way military families can make it. Even with it up till E-6 they are at or below poverty level. A person being stationed in Germany four years or even Alaska four years and family staying back in Maine means the wife and kids will see each other once a year. Military wife's and kids already make significant sacrifice for nation by the usually very limited time they do have with the enlisted parent especially those assigned to ships.
Doing away with it and even with a draft it will still result in very serious shortages of E-4 and above enlisted. Not many would stick around without a very substancial bonus for retention {far above their living allowance per enlistment} and I don't blame them.
Our service members deserve to have a family life. BTW recruitment advertisement has indeed been a long standing expense.
One other point to add. The military now obligates enlisted up to eight years service even on first enlistment. Keeping a military family together near command or a base is good for morale and is for the good of the service as well. It also has the family close to needed support facilities during deployments. Enlisted is the backbone of the military. It's best & CHEAPER to take care of them than retrain & replace another one after leaving on completion of first enlistment.