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Like you I think it is all three
That the original intention of trying to avoid giving offense is what should be aimed for, but.
I think it has been hijacked by the right wing so it is now used as a pejorative term to discredit anyone who dares to have a different view. In the media those who are pc are depicted as some sort of loony lefties who are totally out of touch with the real world and would rather save a terrorist than insult someone.
On AB this is demonstrated when someone questions a viewpoint such as the death of paedophiles, because they haven't concurred they are accused of either complicity or even active involvement.
Criticising those who are allegedly pc also fosters a feeling the the un pc are being attacked, thier rights, their (in this case britishness) their way of life. A Marxist analysis would be that whilst the proletariat are busy squabbling amongst themselves they are not capable of being a unifying force to enable radical social, political and economic change to occur