Of course the Nords are not nowhere as racist as the Dunmer. But the various dialogues from a plethora of different NPCs make it seem as if the the greater majority of the Nords by far are racist than the Dunmer of Morrowind. If we go by dialogue.
You obviously have a bigotry problem with the Dunmer. Not every Dunmer was a slaver. Not every Dunmer approved of slavery. Not every Dunmer had a slave. In fact most didn't. You would condemn the actions of some and punish everyone like them? The Dunmer deserved nothing like what they got. They had just released the slaves by fighting a brutal civil war amongst themselves before the events of Oblivion. You are completely unjustified in your accusations.
Ulfric never allowed the Dunmer in. The Jarls before him did. According to the conversations of NPCs in Windhelm, the Grey Quarter used to be a much better place before Ulfric. Ulfric is mentioned refusing to send soldiers to the aid of any race not Nord. The example used was bandits attacking refugees in his hold. If they only attacked non Nords Ulfric would do nothing. If they attacked Nords he would do something. Ulfric IS holding the Dunmer in the Grey Quarter down. Seriously, take a walk through there and chat up the NPCs. Is is quite sickening. At least the Dunmer hated everyone, including themselves.
Last I checked, the only truly racist character was Rolff in Windhelm. I swear, if my eyes do not lie, that I saw a Dunmer walking to Windhelm, telling me he was going to join the Stormcloaks.
And, you use Ulfric as your only example of a racist character, because he is the only truly racist character. Rolff is a harmless drunk that hurls threats. Ulfric is a maniac that doesn't just hate non-Nords. The Stormcloaks themselves are good people, and are fighting for their beliefs. And Ulfric knows that, and is using that to make them fight for him and win the throne for him. Judging EVERY Nord with him as your only example is FAR worse than my example of the Dunmer's slavery problem. Mainly because centuries ago it was FAR more prevalent, entirely legal, and generally viewed as completely fine. Karma took it's time, because nothing bad has happened to the Dunmer, until the eruption.
I can name many non-racist Nords. Ysolda, Brunwulf Free-winter, Hadvar, Ralof (A Stormcloak), Advar, Sigrid, Gerdur, Hod, Jarl Balgruuf the Greater, Jarl Elisif the Fair, Jarl Idgrod Ravencrone, Falk Firebeard, Susanne the Wicked, Aela the Huntress, Farkas, Vilkas, Skjor, Kodlak Whitemane, etc.
So, basically every single Nord character in the game.
The Nords are far from racist, but Ulfric being a total dike to anybody that doesn't conform to his thoughts and beliefs paint them in a bad light.
My hate for Dunmer has been brooding since Morrowind, and the massive amount of love they get from fans only made it worse. I hate the race, and I love them because of it. They're compelling enough to make me hate them, and that's an ode to Beth's writing.