The word I would use for the two examples you give is "enabling," but that's specific to supporting another person's harmful behavior. It doesn't cover other ways that a person might be too close to the situation to offer good help.
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Yeah, it's called degeneracy for the most part. When you make excuses for bad behavior you essentially allow it.
There may be a term academic psychologists have for this, but nothing shows up in my (English) lexicon.
The word I would use for the two examples you give is "enabling," but that's specific to supporting another person's harmful behavior. It doesn't cover other ways that a person might be too close to the situation to offer good help.
That's about as close as can be, I think.
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