A significant number of Americans hold significant misconceptions about their privacy, according to opinion research — misconceptions that privacy-invading companies love. That’s according to research on American understandings of privacy carried out over the past couple decades by the Annenberg School for Communication at the University of Pennsylvania, lead by Prof. Joseph Turow, whom I recently heard give a talk summarizing these studies.

Misconception #1: “We care about your privacy!”

One misconception is that when a web site has a “privacy
policy,” that actually means the site has a policy to protect your privacy. Annenberg
presented respondents with the false statement that “When a web site has a
privacy policy, it means the site will not share my information with other
websites or companies without my permission.” In 2018, nearly 60 percent of
Americans either said they believed this was true, or that they did not know.
In past
years
the percentage of those surveyed giving incorrect answers was as high
as 78 percent.

Unfortunately, nothing could be further from the truth. Most
“privacy” polices start by declaring, “We care about your privacy!” and then go
on to say, in extremely long and complicated legal language, that you have no
privacy. Lawyers write these policies to minimize the presence of any actual
concrete promises that might limit what a company does. Because the United
States doesn’t yet have a baseline privacy law, the only thing protecting our
privacy in most commercial contexts is a prohibition on “acts or practices that
are unfair or deceptive.” That prohibition was enacted
in 1914 — just slightly before the
advent of today’s online advertising surveillance systems. What that means is
that (outside of a few narrow areas that are regulated such as credit
reporting) a company can do whatever it wants with your personal information. The
only thing it generally cannot do under federal law is say it’s going to do one thing and then do another, which would
count as “unfair or deceptive,” and leave a company vulnerable to enforcement
by the Federal Trade Commission.

Turow says that “marketers know” about this misconception and
benefit from the confusion and the misplaced consumer trust it creates. Turow
suggests that “privacy policy” is “a deceptive term” and that “the FTC should
require a change in the label.” “How We Use Your Data” would be more accurate.

Misconception #2: What is unfair is also illegal.

A second misconception that many Americans hold is that the
law protects them more than it does. For example, in 2015, 62 percent of
Americans didn’t know that it is completely legal for an online store to
“charge different prices to different people at the same time of day”; in 2012,
76 percent did not know that “online marketers are allowed to share information
about diseases you or your family members have”; and in 2018, 46 percent did
not know that an “internet provider has a legal right to sell information to
marketers about the websites you visit.” (We think they actually don’t have such a right under the
Communications Act, which states that “every telecommunications carrier has a
duty to protect the confidentiality” of personal information — but an attempt
to craft detailed rules enforcing that law was killed
by Congress and President Trump in 2017, and there’s no sign that such a right
will be enforced by the federal government anytime soon.)

What’s going on here, Turow believes, is that people have fairly
well-defined feelings about what kinds of behavior are fair and what are not — and
they tend to think that things that are unfair are also illegal. They think, as
he puts it, that the government has our backs much more than it actually does.

Annenberg’s polling confirms other polling
in consistently
finding
that people are deeply uncomfortable with the state of their privacy online. Two-thirds
(66 percent) of adults, for example, told surveyors that they do not want
advertisements “tailored to their interests,” and 91 percent disagreed with the
statement that “if companies give me a discount, it is a fair exchange for them
to collect information about me without my knowing.” Asked whether “It’s okay
if a store where I shop uses information it has about me to create a picture of
me that improves the services they provide for me,” 55 percent disagreed.

These findings, Turow concludes, “refute marketers’
insistence that Americans find increased personalized surveillance and
targeting for commercial purposes acceptable.”

So why do people give up so much information? The problem is
that they feel helpless. The surveys found that 58 percent of Americans agreed
with the statement, “I want to have control over what marketers can learn about
me online” but at the same time 63 percent also
agreed, “I’ve come to accept that I have little control over what marketers can
learn about me online.” Although marketers like to portray Americans as
cheerfully accepting a tradeoff between their privacy and the benefits they gain,
that’s not
at all
what’s happening. As Turow told me, “The bottom line for us is
resignation. It’s not as if people want to give up their privacy, but in order
to get through life they feel they have to, and they don’t feel like they have
the ability to change things.”

Misconception #3: We’ve lost the privacy battle.

This, I would argue, is the third misconception: that the
battle is lost and there’s nothing people can do about protecting their
privacy. It’s true that there are good reasons why people feel that way — there’s
only so much that an individual can do to protect their privacy, especially if
they’re short on technical expertise or willingness to tolerate inconveniences
in order to fight surveillance. It’s true that our privacy depends to a large
extent not on individual decisions but on collective decisions we make as a
nation about the policies we want to set. It’s also true that the companies
that profit from surveillance are wealthy and politically powerful.

Nevertheless, the clouds are gathering for a major
reckoning. The European Union has enacted a 
comprehensive privacy law called the General Data Protection Regulation
(GDPR) that is forcing
even many U.S.-centered businesses to improve their privacy practices.
California, where one in eight Americans live, has also enacted a broad privacy
law called the California Consumer Privacy Act (CCPA). And as these laws weaken
the will of companies to oppose privacy protections, scandals such as the
Cambridge Analytica fiasco have strengthened the desire of politicians across
the political spectrum to support such rules. The result: For the first time in
many years, members of both parties are reportedly working to draft and enact
comprehensive privacy legislation. 

There are major
battles
ahead, but, as I have argued,
in the end people need — and always demand — privacy. Privacy-invading
companies love it that people feel helpless, but now is the time for people to
trade resignation for anger and activism, and voice that demand to ensure that
any new privacy laws are strong and meaningful. The status quo is not stable,
and the battle is just getting underway.