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The Government and Housing: Policy

Civics 101

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The Federal Housing Administration - The Reason for Not Providing Black Americans Affordable Housing

The justification was that black-owned homes were thought to bring down the value of homes around them. This really ramped up after World War II, when millions of returning war veterans were coming home and needing housing. The Federal Housing Administration began to finance developers to build subdivisions in suburban areas. And they went so far as to say you couldn't even guarantee the bank loan for a developer who was going to build an all-white project.

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