Rabbi Nachman teaches,
God created the world out of love – in order to reveal His love – for without the creation, to whom would He show His love? Accordingly He brought about the entire creation from the beginning of the highest spiritual world of Atzilut down to the end of the center point of the material world, all in order to manifest His love.
When God wanted to create the world, there was no place to create it because everything was infinite. He therefore “contracted” the infinite light to the sides. As a result of this contraction, an empty void was formed within which time and space – the finite world – were created, as explained at the beginning of the Eitz Chaim of the ARI.
Likutey Moharan I, 64
With permission taken over from: Daily Dose Of Rabbi Nachman