Following this link, one can treat dissipation by using a factor $e^{\frac{t \beta}{ m}}$ in addition to the Lagrangian $L_0$ of a system without disspation:
$$ L[q, \dot{q}, t] = e^{\frac{t \beta}{ m}} L_0[q, \dot{q}] \, , \quad \text{where}\quad L_0[q, \dot{q}] = \frac{m}{2}\dot{q}^2 - V[x]\, . $$
The equation of motion associated to $L[q, \dot{q}, t]$ is:
$$ e^{\frac{t \beta }{ m}} \frac{d}{d t} \frac{ \partial L_0}{\partial \dot{q}} - e^{\frac{t \beta}{ m}} \frac{ \partial L_0}{\partial q} = e^{\frac{t \beta}{ m}} \frac{\beta}{m} \frac{ \partial L_0}{\partial \dot{q}} \qquad \Rightarrow \qquad \frac{d}{d t} \frac{ \partial L_0}{\partial \dot{q}} - \frac{ \partial L_0}{\partial q} = \frac{\beta}{2} \dot{q}^2 $$
This equation describes the motion of a particle in a potential under the effect of dissipation forces proportional to its velocity.
Question: If I use Hamiltonian mechanics, this system is described by a single Hamiltonian and the canonical equations of motion. That means that Liouville's theorem holds, and therefore the state density would be constant along the physical trajectories of the system in the phase-space. I can't imagine that this is possible for a system with dissipation, where I would expect the phase-space volume to shrink and the density to grow.
Consider for example a damped harmonic oscillator: The trajectories would be circles with exponentially decreasing radius in the phase space, so the phase-space-volume decreases.
Where is my mistake? I thought the only requirement for Liouville's theorem is that the system is described only by the Hamiltonian. So why does it hold where it clearly should not?