Well, we've had that JFK assassination sim and Super Columbine RPG. We've had a level in Call of Juarez: The Cartel that basically encouraged you to mow down tons of black people. We've had the No Russian level in CoD:MW2. Video games get nailed a lot for being in bad taste, I don't think there's a more controversial entertainment medium.
The question is, are there certain topics video games should steer away from, at least at the moment? After all, as the industry stands, it seems mostly incapable of dealing with serious topics at any level higher than "puerile". There are, of course, exceptions to this (Spec Ops: The Line, for example), but I wonder if, as a medium, we could portray, say, the Irish Troubles or American Slavery. with the appropriate sensitivity and nuance.
Are there events or situations that it would be in clear bad taste to produce a video game based on? That sentence looks weird to me. Whatever. Are there ways of producing a game that can be both fun and sensitive to the topic? What games have managed this?