It does, though that is changing today faster than the perception of Epic Fantasy as literature. YA fiction is a broad and growing field, and there is a new cult rising among some authors and editors regarding the merits, literary and conceptual, of YA fiction today.
Interesting artists are generally not snobs? You redeemed yourself there with the word 'interesting', though it did somewhat take the punch out of the statement. Have you been to many fantasy conventions in the US?
What are those assumptions today, Alison? Morals have changed so much, and acceptable behaviour has a thoroughly different meaning now than even 15 years ago.