Here's a baseball card I was given recently of talk-radio host Dennis Prager - who is Jewish and discusses his faith openly on his show. I can recall listening to him discuss this very subject of the word "Jew" and he does not at all regard the word itself offensive, but a normal way of describing a person who is Jewish. In fact he goes on national speaking engagements where the theme of the discussion is "Ask a Jew".
As for the card, it's rather clever in that is was intentionally printed to give it a "beater" look.
