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Yep. It did not become firmly attached to homosexuals until the 1950s-60s. More recently it has also become a pejorative term that is only loosely attached to sexuality, with many younger people using it most likely unaware of the sexual meaning.
http://en.wikipedia.org/wiki/Gay

As a last note, there is no evidence it was ever meant by gays to mean "Good As You".
 

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yeah, thats sounds like a backronym.
 
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