I am fond of magic being something truly special but something to be feared/respected. So since the census seems to be towards that medieval king orientation, I place my vote for the concept of magic that it be something rarer but acknowledged and respected rather than common, or the other extreme of magic being hunted down and squashed.

In regards to the idea of fantasy races- I say we at least include the typical elves/dwarves/halflings, and anything else be a bonus we add in to make things more interesting/diverse.