Terry's "schizophrenia" just means he perceives reality differently than you do. The "word salad" is actually not random nonsense. Your mind is perfectly trained to value political correctness and money, and so you find his thoughts nonsensical or abhorrent. Terry's mind has developed to value art and speaking the truth as he perceives it without any social filter. What you are seeing is a true artist with a perception of reality so different from your own that you don't comprehend it as rational. If you read it carefully, you'll realize everything he says is perfectly rational, he knows perfectly well what he's saying, and racist or not, from a certain perspective there is reason to it.
Imagine you are talking to someone who has been living in the wilderness for a long time, who has stumbled back into civilization and has gained a reputation for being a crazy person, and they point at a cave and say "bear hole makes the rain go away!" and becomes very frustrated that nobody bothers to try and understand them (and instead just repeats the popular opinion about how they are crazy). Are they actually speaking nonsense? I think that's what [some] schizophrenia actually is.
Imagine you are talking to someone who has been living in the wilderness for a long time, who has stumbled back into civilization and has gained a reputation for being a crazy person, and they point at a cave and say "bear hole makes the rain go away!" and becomes very frustrated that nobody bothers to try and understand them (and instead just repeats the popular opinion about how they are crazy). Are they actually speaking nonsense? I think that's what [some] schizophrenia actually is.