It doesn't really have anything to do with minorities, except to the degree to which the sorts of home assistance programs are targeted at them. The real issue is that poor people from high-crime neighborhoods are provided subsidies to move into new middle class home developments, with the social theory that if you take the poor family out of the gang infested ghetto, they'll thrive and be successful. Decent theory, I suppose, but what actually happened (in large swaths of Riverside County for example), is that those poor families and their children *were* the gang members and drug dealers. The result was that they didn't get away from the gangs and drugs, but simply brought them into a new area at great expense to the state.
It was a moronic idea. It failed miserably. Not only did the taxpayers lose tons of money, but legitimate homeowners who bought into those neighborhoods not knowing what was going on with the home subsidy plan effectively got screwed. The only thing they accomplished was to take neighborhoods which could have been nice places to live and turn them into expensive ghettos. Property values plummeted (before the housing bubble collapsed btw), graffiti and blight appeared, everyone who could moved out, and the poor folks who'd been placed there stayed because they had no more choice than they'd had before.
It's a great example of the typical liberal "cart before the horse" mentality. Home ownership in a nice middle class neighborhood is correlated to low crime and good employment not because the homes make people not commit crime and keep their jobs, but because overwhelmingly only people who don't commit crimes and who keep good jobs can afford to live there. High crime raters in poor neighborhoods aren't caused by the low property values, but by the fact that most criminals end out poor. Kinda obvious if you think about it, but someone apparently thought it worked the other way around...
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