I like to live in a fantasy land where everyone understands the basics of how the Internet works. The reality that many people don't have the faintest idea how to use a computer beyond the very, very basics -- and probably never will -- is unfortunate, IMO.
They do have an understanding of how the internet works. You type what you want into google and you get it. Maybe its not how the internet worked before, but hey its nice to have to not keep downloading HOSTS.TXT.