The worst part is that sooner or later we're going to have to do something about Detroit. And it's only going to get harder and more expensive.
They won't for one simple reason. The US political system is not equipped to deal with issues this complex. Modern politics reflects our modern attention span. Short and glib. Everything has to be watered down and put into a neat, one page, catch all solution. Problems like Detroit cannot be compressed and simplified to that point. So instead the system turns to band-aid solutions.
It's like using gum to plug a cracking dam. Sooner or later it will burst, but this will hold it just a little longer. When the dam does burst, the system reacts in it's usual fashion: juvenile finger pointing by politicians and special interest groups. The debate progresses no further and no viable solutions are offered. Detroit has the added problem of being more than 80% black. So any debate on how to fix the city inevitably descends into a race thing.
Much of Detroit's problems stem from it's economic makeup and local politics. It's a single industry city. The economy relies too much on the automakers to keep it afloat. It's not as if the problems cropped up overnight. US automakers have been struggling since the 1980s. The trend towards foreign manufacturing has been known since at least the 1970s. Anyone smart would have diversified the local economy then. They didn't.
The city's top employer is the civil service. However with the automakers struggling, there's not enough tax base to pay for them. The city has several casinos, but tourists aren't going to go there. Especially since Caesar's went up in Windsor. Canadians aren't taxed on gaming winnings in their own country.
With the city now in shambles, no reputable business is going to set up shop there. Combine the decay with a population that is unskilled and poorly educated.
In terms of politics, based on my small amount of research, the city owes much of it's problems to corruption thanks to career politicians. The problems seem to have their roots during Coleman Young's mayoralty. Most since them have been under strong suspicion of corruption.
So what to do? Well, higher levels of government will need to get involved. It should be a priority for the Obama administration to deal with urban decay. It doesn't reflect well on him, especially since he rode to office on the belief that he would fix these long standing issues in African-American communities.