By doing stuff like "guaranteeing" student loans, encouraging policies of buying homes with high credit, getting the Fed to lower interest rests too much (making credit so cheap and easy companies don't even use their profits to buy/invest in stuff anymore; they even use credit to buy back their stock. Insanity), etc
All of that distorts the market and makes everyone spend money they don't actually have. Eventually all of this catches up with everyone, on a country-wide scale.
All of that distorts the market and makes everyone spend money they don't actually have. Eventually all of this catches up with everyone, on a country-wide scale.