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Uneeq, we don ot paken directly from mishnayot, we pasken from poskim down to the present. There are two dinim here:
1. What the individual is required to do by himself.
The pauper is expected to sell and move to a less expensive place. Obviously, presuming that it is not in a dangerous neighborhood.
2. What others are required to do if he does not do the right thing.
If he refuses the community is only required to pay his expenses if the poor people are few in relation to their numbers and wealth. The best course is to find him a job or set him up in business. While they cannot evict him (unless the community is the landlord) they can tell him to find an alternate source of money.