N's are CCC's, so a loose N can create hi-ohm condition, get some soot and heat at the junction.
Most things have an inrush current (magnitude makes no diff, start-up is 'always' more than run), so a bouncing N means the inrush has more cycles, happens every time the N conducts at the weak junction. I have had to fix many switches and outlets where sub simply rushed through and did not tighten screws correctly, some of them you can here a slight buzzzzzzzzz because of the poor contact.
Junctions are usually in some type of box (should be, but in MX many times not). Fire causing I not sure, surely possible in rare circumstances.
A loose N on the service side, panel, means perhaps some of the ckt's N's CCC (plural) runs in earth over to neighbor's panel, which means additional ohms in that path, hence a bright/dim light. GFCI's don't even see this issue, ckt amps on each CCC are equal, etc.
I thought somewhere here on MHF there was a similar thread, but talking about copper vs older AL wire. Bottom line, loose CCC's is bad.