One thing is for sure, Gene was totally out of touch with reality during the making of the TNG. That seems to be the theme. I have no problem with that because Trek was usually at it's best when Gene wasn't directly involved. He also turned into a flaming lib during TNG and it shows some times, just wrecking the show. Same happened with Lucas when he totally sucked the mystic / mythical elements out of Star Wars with the prequels. Gene's whole vision of man wouldn't have conflict with one another is just unrealistic and insane. It ignores history. It also made for crappy storytelling.
That's kind of what "hope for the future" means, though. I had no problems with the "conflict from the outside" concept Gene had that makes for more creative story telling if you ask me.
It's easy to have the crew bickering and fighting with one another, it's not easy and more creative to have conflict come from other places.
No, it makes it unrelatable to the audience because that isn't how we work as people. Utopia never can happen..as we saw on the original series it is a bad thing (The Apple, Return of the Archons, This Side of Paradise). In the real world they meltdown into dictatorships as the people with the vision wind up killing millions to achieve their version of utopia.
The original series was about bettering the individual, and promoting individual freedom. The TNG universe was a mess it didn't have a consistent message. They could be a bunch of elitist snobs sometimes just look at how racist they were to the Ferengi. Not very accepting of their culture. There were episodes just chock full of moral equivalence which is just a bunch of BS. Then there were episodes when they hit it out of the park - Drumhead, Offspring, Measure of a Man, Inner Light, Family.
Speaking of Family, it is interesting Gene didn't want them to do that episode. I think it was one of the best episodes of the series. It really humanized Picard and showed the effect that being assimilated had on him. I think Ira and RDM did a better job on DS9 in bringing back elements from the original series and running it through their stories. If the original series was wagon train to the stars, then DS9 was an old west town they stopped in.