The most common reason economies fail is the aftermath of war. If you're talking about Weimar Germany, its productive capacity was destroyed in WWI and it owed reparations to France and GB in gold or the currencies of those nations. Just feeding its people required a constant increase in the money supply that eventually crumbled its economy. However, the spending was a following event, not the cause of collapse.
Zimbabwe is often cited as an example by people who like to blame currency expansion for its problems. The country emerged from its civil war with very limited production. It proceeded to grant its agricultural land to soldiers who had no clue about farming and ended up importing most of its food with an already shaky currency. Again, the food shortage and bad fiscal management preceded the "printing of money".
America, even in the midst of the pandemic, has slack productive capacity that could be captured with more money available to consumers. Most of our problems presently are due to flat wages and the nonsense of "just in time" inventory in critical goods that could have been easily predicted and mitigated with spending the fiat currency ahead of time.
No one is saying government should buy everyone a new luxury car, although it could easily do so in terms of "affordability" as long as the cars could potentially be made. However, we are not Weimar or Zimbabwe and our fixation on government spending is creating a shortage of money (velocity) that is able to retire private sector debt.
That will soon bite us with a wave of default when it could be easily avoided. When the government spends in deficit it provides monetary assets to the private sector that don't require "funding" or taking on private debt. This stabilizes prices and the economy. We could use a lot of that and no one's taxes need to be raised to utilize available slack.
As long as we view taxation as a "funding mechanism" and government's budget as we do our own we will be locked into a zero sum game of austerity that only works for employers wanting cheap labor and bankers who want to finance every sector of the economy.
