Why do mail server care about how long a line is? Why don't they just let the client reading the mail worry about wrapping the lines?
For instance, consider FTP’s text mode, which was primarily a way to accidentally corrupt your download when you forgot to type “bin” first, but was also handy for getting human readable files from one incompatible system to another.
As to the other bits, I think even in the uucp era, email was mostly internal, by volume of mail sent, even though you could clearly talk to remote sites if everything was set up correctly. It was capable of being a worldwide communication system. I bet the local admins responsible for monitoring the telephone bill preferred to keep that in check, though.