Adam,
It happened when all the liberal, types from the 60's moved into adulthood and realized that being employed in government was a better, easier gig than having to work for a living. This was most especially true in the teaching environment. It gave them power over others and a chance to test out their warped fantasies on impressionable young minds. Political correctness was amongst the least of their legacies. An absolute lack of, or distorted impression of our history, the Constitution and Bill of Rights were the most nefarious results.
Yes, political correctness has been and continues to be the 'Trojan Horse' for America. Funny how those same students of the 60s, professors now, were crying 'academic freedom' are very intolerant of other views today.