It's a moot point. The city will absolutely be rebuilt. 0% chance of any other outcome. It will look different, for sure, but it will be rebuilt.
While I agree in principle with the insanity of building a house, let alone a whole city, in such a vulnerable position, I think anyone who seriously suggests abandonment is massively misreading human nature. This area has a very, very long history and culture. It prides itself on being one of the most vibrant parts of the United States, the birthplace of jazz. People don't just walk away from that.
On top of which, in situations like this, many people take on a seige/war mentality, us vs. them (in this case, the "them" is mother nature and the elements). Irrational though it is, to many, abandoning would be tantamount to declaring defeat, and emotionally they absolutely cannot do that. (In fact, I think that's why a certain percentage of folks always choose to ride it out rather than evac -- they view the storm as the enemy, and evacuating as cowardly retreat.)
I actually heard this exact sentiment from someone in Biloxi or Gulfport on the evening news earlier. They showed someone hoisting an American flag into a tree, and this woman who had lost her house said "We've lost this battle, but not the war." She clearly planned to rebuild.
Meanwhile, my 6 year old son asks me why they're putting up an American flag... and I had to try to explain the completely irrational yet real connection for many people between natural disaster and patriotism.