That's partially true, but I've very much seen the flip side as well. I know a few people that had trust funds, and for them it was absolutely the worst thing that could have been given to them. It basically stunted their growth to the point that they never really escaped the orbit of their parents because their parents always had the "leash" of paying for their lifestyle.
Obviously that experience isn't universal - there are plenty of wealthy families that grow their wealth over generations, but I think it's more the case that these families cultivate their social standing, relationships, and businesses, so it's not like they're just burdened with wealth alone.
Wealth is a multiplier. If the kid is a bump on the log, they’ll be even more of one with more money. If they’re driven to succeed, they’ll be able to accomplish much much more with money that can fuel their endeavors.
Obviously that experience isn't universal - there are plenty of wealthy families that grow their wealth over generations, but I think it's more the case that these families cultivate their social standing, relationships, and businesses, so it's not like they're just burdened with wealth alone.