Headscratchers / Dysfunctional Systems

• Why is the utopian world that the main characters come from called "Earth?" Is it actually supposed to be our Earth in the future, or were the writers just too lazy to come up with an original name for it? If it is our Earth, why are there no poorly-written books or smutty romance novels ever published? Why is there no history of war? Are the oligarchy actually covering up "Earth's" history and passing off anything bad as originating from less perfect systems?
  
  On a less major scale, why does Waverly react to Irie raving about Winter's thighs with "you sound like a lesbian" as if saying "you sound like a weirdo?" If this is a utopia, shouldn't people be indifferent towards girls liking girls or guys liking guys?
  • Taking these two together: looking at the different paths on the dialogue trees, I suspect that the current government of Winter's country is actually totalitarian and authoritarian. Cyrus and Winter see their country as utopian because of the high standard of living that their technology grants them — and they see their government as good because ... well, Winter sees it that way because she's incredibly naive and sheltered, and Cyrus sees it that way because he has a position of power within it. Waverly is probably the one most likely to realize how oppressive it is, both because she is aware of the widespread homophobic and conformist attitudes and how harmful they are and because her interest in other-worldly material has allowed her to read about facts of history that their government suppresses.