I am fascinated by this topic, as well. Interestingly, I have heard the hippie thing, and like you said, that is no longer valid. I see respected business men all the time with well trimmed beards and goatees. It makes it even more ridiculous to me that the witnesses go ahead and allow moustaches. What's the difference?
The most maddening part to me is the answer you get from the brothers if you argue this subject.
"What's more important to you; your personal rights, or how you might affect others? Wouldn't it be loving to consider the feelings of the rest of the congregation as more important than your personal rights?"
Has anyone else heard this backwards reasoning?