My solution (if I were in charge) would be to lower taxes. Possibly a low flat tax without any deductions. That way everyone pays into the pool. You make a little, you pay a little, make a lot, pay a lot. Make taxes business friendly. As businesses come back to the US they will put people back to work. More people working means more people paying taxes.
As the unemployment comes down (because there are jobs out there) start cutting back on welfare. Gradually reduce the checks to the point that getting a job looks more attractive than the Government check. Before you know it, the US should be flourishing again and back to it's great self sufficient self.
Sounds like it might work to me. But what do I know?