Ask most Americans why Detroit went bankrupt and virtually emptied out—plummeting from a population of 1.8 million to 700,000—and you’ll probably hear comments like the “globalization of the auto industry,” “race riots” and “corrupt, inept government officials” (often a code for black politicians). When the question is about Detroit today, the most common perception seems to be that it is rebounding rapidly, thanks to an influx of external saviors and moguls.

