Absolutely! Why should the government go in there and cause more of a problem than there already is? The people of this militia, while armed and breaking the law, are not actually a threat to human safety at this point. But that could change if the government were to go in there and get them riled up. The government stays away, they get tired of nobody listening, and they tuck their tails between their legs and go home. This is definitely the right way to handle this situation at the present time.
The government had the right approach in a very controversial situation. Just leave them be for now hope they tire themselves out and cooperate. One one hand, they could have stormed in and stopped the situation by force and been within legal rights but on the other hand, those rights hardly seem tangible in this type of event.
Yes, the government did the right thing by leaving them be, because the Oregon Militia will taper out on their own. Eventually the group will get hungry or bored or run out of money. It's much better to let them die on the vine than to have a confrontation that hurts people. That is what the militia wants to have happen, so it's better to just to peacefully wait them out.
I feel that the militia got away with something that most minorities feel they themselves would never get away with. What if the group in question was composed of black, latino or middle-eastern men? Would we be seeing the same level of patience that is currently being afforded to the Oregon militiamen? No.