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"As usual, when government interferes with the areas that should be left to private business, it either fails or inefficiently uses resources. In the USA cities built huge housing projects that became hell holes, gang ridden centers of crime and poverty. Better let private firms build that people want to live in or purchase. Communities were destroyed in the 60s with urban renewal."

In principle, I agree with what you're saying, but isn't there many areas in the US where people built hoses of their own or private companies developed rather appealing areas which later on deteriorated.

I've understood that Compton was once an attractive area in LA, even if it isn't today.

Anyhow, I think we all agree politicians often make more mistakes and also make more severe mistakes as decision makers than free individuals and private businesses do.

In principle, I agree with what you're saying, but isn't there many areas in the US where people built hoses of their own or private companies developed rather appealing areas which later on deteriorated.

I've understood that Compton was once an attractive area in LA, even if it isn't today.

I would say that is just the nature of urban sprawl. It seems that as cities expand so does the crime/ghetto/urban blight problems.

There are generally cycles for housing. Go to most American cities, you will find areas that are called "slums." Take out the urban ghettos created by public housing. What you generally see is that the older and probably more rundown modest housing areas became slums to some degree, because of the low cost for those "poor" moving into the area. In Atlanta, South Dekalb County, East Point, College Park and North Clayton county included homes that were generally older and lower middle class or middle class homes. People from poorer areas moved into these affordable houses. Houses that were in some cases 50-70 years old. The people that once lived in these areas moved out into newer and probably somewhat superior housing. Eventually, the areas that deteriorated, like in Atlanta, the midtown area, become gentrified, because the land is close to downtown and valuable for condos, apartments, townhouses, for people that don't want to commute. The cycle continues.
When government gets involved it tries to engineer this change by accelerating the cycle. Most of the time if it doesn't consider the real market, it does more harm than good.