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It's a common human misconception that nature is about balance or even reason. Most creatures inevitably destroy their own habitat if left uncecked. The only thing that prevents them from doing so are predators and diseases. It doesn't always iron itself out however. Not just animals, even plants and bacteria. The invention of photosynthesis by cyanobacteria caused 2 of the most massive environmental catastrophes ever, the Great Oxidation Event and probably Snowball Earth, eradicating almost all early life.
https://en.wikipedia.org/wiki/Great_Oxygenation_Event
https://en.wikipedia.org/wiki/Snowball_earth
Caterpillars killing their hostplant and starving isn't uncommon btw, it's often seen in Birdwings. The older larvae move down the vine they feed on an gnaw it off at the base. The entire plant dies with all younger caterpillars on it. Don't ask me what's the evolutionary advantage of that.
https://images.peabody.yale.edu/lepsoc/jls/1970s/1975/1975-29(2)85-Straatman.pdf