John, your "translations" continue to get the better of you.  I think it's actually that I you like making straw man arguments.

I'd prefer the poor be taken care of first by their family, extended family, then friends, then neighbors, then church or other non-governmental/volunteer organizations.

This is "exercise free gift of self at the lowest level first" is the Catholic principle of subsidiarity.

It is "preferred" because it causes the most "growth within the system".  It causes growth and greater opportunity for more sincere friendship at the lowest level.  That's where the Holy Spirit likes to operate.

You'd prefer (here I am using your style of argument) that everything be automated and run top down...auto payments directly from the Federal Government into some poor person's bank account.

Nice and neat. 

But that approach totally misses the actual purpose of real sacrificial charity.  And as a long line of failed government policies from the 60s shows, it fails as well.