Conservatism, by its very nature, resists change, for any reason. Your "long haired" story brings back memories for me as well. Don't think though, for a moment, that it has died down even with the changes in hairstyle and acceptance of some music. "Hippy Punching" is alive and well in all manner from discourse to open action and still influences decision making on many levels.
The time frame you mention is only a few decades ago and has a very long way to go. Look at the "Wars of Northern Aggression" attitudes of today. Old habits, beliefs, mores and folkways die hard if not linger on in some illogically resistant form, impervious to facts coupled with an inability to move onto the next evolutionary step.
It's no wonder music can suffer as a result. Thank goodness that there will always be artists who stand out against the norm, the bland, the lower denominators that are marketed by the majors with their tried and trued, market driven formulas. They always say that they only give the people what they want. To that I call "B.S." People can be accepting of a lot more than what they're given. First thing I'd do is stop all the focus groups which serves nothing more than to dilute artistic expression and keep things in their comfort zones. Show me any decent artist who stayed within the lines and I'll show you a crass opportunist.
All the best,
Nonoise