OK guys;
I wanted to update this thread with what is, hopefully, the solution/fix to my problem. I adjusted the gear-change lever, after reading LoudMouse's post in another thread stating that the part of the lever that attaches to the splined shaft should point at about 11:00. I had it adjusted to 12:00, and the feeling was indeed like the lever was being blocked from moving upward to switch gears.
I can definitely move the lever upwards now, with positive clicks up and down. This is while it's up on the stand; I'll get out on it later today to affirm whether it also works on the ground.
If so, I have to be the latest poster to send my thanks to LoudMouse, who clearly has forgotten more about these bikes than I'll ever know!
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1965 Honda CP77 — Ulsan Metro City, Rep. Korea
Restored with original parts — Owner: J. Doe