I don't see how a few people slapping an arbitrary label (or, er, "construct") on something makes that label valid. I've seen exactly the same thing happening with science fiction (oops, another label)- starting with H G Wells, moving along through Keith Roberts and arriving at China Miéville. And of COURSE there is the supreme arbitrary label, "World Music".

I must admit that NOBODY is better at labels than yer average folkie. Look at the way Cecil Sharp is becoming nearly as persona non grata as Ewan MacColl. I've just been watching the new "Barley Mow" DVD which includes pre WW1 clips of Sharp, Maud and Helen Karpeles, and George Butterworth performing morris dances. How disgraceful. Rich people corrupting the innocent diversions of the working class and creating a construct bearing no relation to the original pristine article. I just found it charming, sad (George was killed in WW1 before he write much music) and a nice picture of female emancipation (Maud and Helen are wearing rather short outfits and bell pads at the KNEE).   

Look, the damn thing's supposed to be FUN. That's why we sing, dance, listen, and argue innit? Oh dear, another label - "Fun". B*gger.