ABSTRACT

This chapter focuses on the area of housing and community development, although the issues raised will, to a greater or lesser degree, be relevant to other urban problems as well. It reviews the potential benefits of private sector involvement as the author raises the question of how much and what kind of government regulation, particularly in such areas as housing choice, tenant selection, location of developments, and population mix. The chapter presents a model for a specific program to maximize the contribution of the private sector while retaining necessary public controls and maximum consumer sovereignty. As the program develops and as the housing demand pattern for moderate- and low-income families manifests itself, the public agency can adjust the location and site selection decisions of private developers accordingly. Adherence to a general set of public policy controls becomes a quid pro quo for receipt of government aids.