I took part in this privacy-related panel podcast (audio here, description here) titled "Do we have privacy anymore?."
It was actually very fun since I tried to play the devil's advocate and steer the discussion towards "Do we WANT privacy anymore?" And you know what? While doing it, it dawned on me that there are "two privacies" or a "privacy chasm" of sorts.
On one hand, we have the "Facebook pix don't matter crowd" (sample)
On the other, we have medical record sharing among "partners"
I think loss of privacy is not a big deal. Really! If you don't like your privacy, just toss it :-) like many did. However, the loss of CHOICE of what gets shared/publicized IS a big deal.
To summarize, I bet all people, who think that pics of them naked on Facebook are perfectly OK, will NOT want to be denied employment since their doctor shared their health issues with their insurance which then shared the info with their would-be boss ...