If calling things "racist" is a dream, then so is the sunshine story of blaming everything on "the immigrants" and a "crumbling social fabric." Polarization and naivety are easy, subtlety and deeper understanding are hard.
Isn't precisely the problem that we can't have a rational discussion of this issue without people bringing out the X-word, the R-word, the I-word and others and calling for immediate stop of all criticism of the current situation?
The average Joe not being able to tell "racist" from "xenophobe" seems kind of trivial in comparison.