"I remember seeing two caucasian kids beating the cr*p out of each other with the taunt, "fight, fight, its a n*gger and a white," being chanted. And keep in mind that THIS was in geodesic dome hippyland."

I heard a slightly different version: "Fight, fight, black and white; if the white don't win then we all jump in!" - but oddly enough, growing up in the conservative South I never heard this until one occasion in high school - and as in your example, there were no blacks present. Curiously, I did know some white girls who picked up some odd chants from their playground peers: "Mama's going to have a baby, a brand new chocolate baby..." was a little embarrassing to their mother, but the girls didn't understand why at first. How funny to think that a baby could be made of chocolate! (it could be white chocolate, you know).

"But that takes a child who is not deferring to their elders; because bullies inevitably pick on younger kids."

Not always. I know of one girl, long ago in a German-speaking town in the midwest, who taught a little black boy ... well, a self-deprecating phrase in German, telling him it meant something else. When he learned the true meaning ... well, apparently he was not one to heed the usual admonitions to never hit a girl. How could this little girl bully a boy her same age? Well, obviously she was not sufficiently indoctrinated in patriarchal theory - but she learned!

"Everyone knows that you have to buy used panties in Yen."

"I have a yen to purchase your used panties, little girl."

(Unless it was the pre-war silver yen, this offer would be insufficient to cover costs.)