I've made lots of rag quilts. Most I clip because I like the look. I tend to use a 1/2" seam and clip 1/8" to 1/4" apart.
But on some I've used a wave rotary blade to cut the blocks/seams after assembling a row. Has a different look, used it on flannel and on cotton homespuns. I tried not clipping and didn't like all the strings, the wavy/scalloped look was better. Back in 2004 I taught two wave cut quilt classes from the book,"Fast Asleep" by Nancy Odom. Sure makes it alot faster.