Or get completely the hell out of the way and stop bailing out people for mistakes. In the immediate it could mean a degree of suffering and chaos, but in the long run it teaches invaluable lessons about how to learn from mistakes, think for the future, and to keep trying to succeed. Things will begin to sort themselves out.

The further down the line you go in one direction or the other will expose different types of flaws relating to either too much involvement or not enough. Punish the independently capable citizens by an over-involved government while helping the less capable, or punish the lesser capable by not “helping” enough. Take your pick.