In another forum there was a similar debate and the conclusion was that for better or worse nearly every FF7 character (in your party) is a stereotype of a group of people as viewed by the Japanese game developers... Let me break it down for you:
Barrett: The obvious ebonics-speaking Mr.T generic black guy. The Black Panthers should be pissed!
Cid: A loud-mouthed, stubborn, arrogant American. The US Army should be pissed!
Aeris(or Aerith for you purist nerds): An overly weak frail female. Feminists should be pissed!
Tifa: A woman wearing an F-cup bra. Porn stars should be pissed!
Red XIII: The talking animal full of wisdom. Simba and the rest of the cast of The Lion King should be pissed!
Yuffie: Re-enforces the stereotype that all ninjas are thieves. Shinobi should be pissed!
Vincent: The misunderstood dark gothy character. Trent Reznor should be pissed!
Cait Sith: I don't even know where to start this one. Magical oversized moogles being ridden by remote controlled cats should be pissed!
Cloud: Blonde hair, blue eyes, and comes from an army of soldiers exactly like him... It reminds me of a movie I saw a long time ago, but I had trouble keeping up with it because THE NARATION WAS IN GERMAN!!!
So is FF7 racist? You decide.
