I'm not sure why but the circumcision debate is often as heated as discussions about the one true religion.
There's no real answer for What's better? Here in the states, the numbers of uncircumcised males is growing simply because parents are talking about it now and its not something that just done automatically anymore.
I think that the right answer to that question is whatever. I've had wonderful lovers who were and were not circumcised. Thinking back I never even thought of them in the context of circumcised or uncircumcised. They were hot either way.
Regarding your story, in the South many factors could have come into play. When it takes place is very important. In the 50s-60s, circumcision was seen by some anti-Semetic Southerners as a Jewish thing and was actively discouraged.
Other times in a majority circumcised South, an young uncut male might feel a bit like a freak. Some curious boys, not necessarily bi-curious boys, will want to see it, touch it and figure out how it works and how its different!!
Case in point:
When I was in 8th grade, there was an 7th grader on my football team that was exceptionally shy about his goods. I could tell that it wasn't his size that he was nervous about. After practice one day we walked home, smoked a joint and I asked him why he was so shy about his dick. (At that point I had heard of circumcision but I had never seen one). He told me that he was uncircumcised and that the way people reacted to it made him feel funny.
I asked him how they reacted to it and he said that a lot of guys wanted a better look and many of them wanted to touch it and ask questions like what does it feel like when you jerk off!
He wasn't ashamed. He was just too modest to be an educational accessory!