"how does the 'new folk music' relate to the existing one"
Different community, different time, different technology - same reasons for existence.

No. As I said yesterday:

"Do you sing while you work? Do your workmates? Do you sing at home to relax? When your friends or family want some music of an evening, do they suggest having a few songs?

"The oral tradition - and the 1954 definition - is about communities and societies where people can, by and large, answer Yes to all four. Those conditions may still obtain in some parts of the world, but they certainly don't in Britain or the US. Folkies pass songs along, but that doesn't make us a community."