I'm not sure if I agree with Jacob's full synopsis regarding the Elf Question.
I'm not an expert on mythological races, but I assume the Elf race is not inherently anti-White, but some sort of side quest deviation of White. I'd be concerned if there was miscegenation, but if they have become a pure race in their own right and they are not a threat to us, if their nature is kind, there is a lot to consider.