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My first thought was that refusing was the right thing to do...

My second thought was that agreeing to the search would have been better from a "protest" point-of-view. The Police check you out, see that you are clean and you are then free to continue your public protest through the wear of an empty holster. I get the impression that the LEO's would have left him alone after that. Folks would have seen the Police not appearing to be perturbed/alarmed/etc. in his presence, and assumed that the guy was not up to some nefarious act.