One thing many manufacturers of chalkware bust or molds have in common is that they make figures to represent different ethnicities or nationalities. The way these figures are depicted is often somewhat exaggerated and may even fit into certain stereotypes.
A collector of chalkware of this type needs to be aware that they are displaying material from the middle of the last century (predominantly 1950s-1970s). Every object has its place in the history of the decorative arts, but not every piece should be displayed out of context.
While an exaggerated figure of Robin Hood or Sherlock Holmes is relatively harmless, one of an "African" or "Indian" person references a genuine and living culture. Specific examples will range of merely decorative to potentially insulting in using extremes of caricature or perpetuating negative stereotypes.
Chalkware of this type is a less pronounced example of the problematical historical material such as American antiques depicting African Americans, or War propaganda posters depicting Japanese people, or any vintage material that uses a language of derogatory stereotype and insult that is now largely obsolete.
My personal collection of predominantly female busts exhibits a milder kind of fetishization of "exotic" cultures which combines a celebration of ethnic and cultural difference with a kind of naïve appropriation. However most of these works still function robustly as genuinely decorative objects that are somewhat cartoonish but not, as best as I can discern, insulting. Specific items clearly cross this line, and I avoid collecting or displaying items of that type.
However this line between celebration of diversity and perpetuation of unconscious bias can be a fine one. I would welcome any comments on this topic. I have not seen it discussed online or in the vintage collector literature.