In case you haven't seen it yet - Adam Curtis' 4-part BBC documentary "The Century of the Self" expands on that segment, and is an absolute must-see in my opinion. Thrilling!
It has never been released on DVD because of licensing issues (you will see why...), but it can be watched on Google Video.
So the notion that you can buy an identity, replaced the original movement notion that you were perfectly free to create an identity. And [that] you were perfectly free to change the world and make the world anything you wanted it to be.
Stew Albert, FoundinĒµ member of the Yippie Party (from the 3rd episode)