How do you respond to an inappropriate question on an interview?

[Nathan]

In college I took a seminar on how to conduct yourself during a job interview. I majored in Middle School Education with an emphasis on Social Sciences. It's a tough job market and I put in over 100 resumes, and went on maybe a dozen interviews and was fortunate enough to be offered a job.

One of the jobs I was passed over started out like this:

"So you're Nathan..... ? God, what a name. Kack-zmark?"

"It's Kaczmarek" (Kaz-mare-ICK)

"What kind of name is that anyway?"

I wanted the job so i didn't press the issue. I just said "It's a Polish surname. It means 'Innkeeper'."

Of course this was totally unprofessional and I don't know why I didn't get the job. I know there are a lot of qualified teachers out there, and I get mad thinking that I might have lost a job because I was being interviewed by a better educated Archie Bunker.

I'll never know and in the end it turned out well. But I was curious about how to respond to an inappropriate question like this? Is there any way to answer it and still get the job?
@ Hunch: "God what a name!" is not asking for a pronunciation, it's making a statement--and not a positive one--about a my last name. Inquiring about my "heritage" is not material to the job. I also said I MIGHT have been interviewed by a better educated Archie Bunker and I WILL NEVER KNOW. That's not jumping to a conclusion, that's saying that there is a POSSIBILITY that will never be certain. In fact it's the opposite of jumping to a conclusion. It's explicitly stating a conclusion is impossible to reach.