Earlier quoted context omitted.
We weren't talking about letting but about forcing.
Forcing children to wear clothes is normal, and the style shouldn't matter as long as they are fitting and such. I don't think you can really 'force' a child to play, so I discount the part about playing with dolls being potentially 'abusive'.
While I certainly advocate that parents have the right to dress their kids in varied styles, I would highly advise against certain styles. "It doesn't matter" perhaps legally, but it does matter socially. (I work in an inner city school; I'm aware of at least two serious suicide comments by kids whose ages are in the single digits, at least partly due to social status.)