The fundamental issue is that the average person in the United States and Austrailia simply don't really care for their online privacy. Offer something free and people will happily sign up and give all sorts of personal information without any hesitation. Offer a loyalty card at a store with discounts, and people will happily sign up for it. Even after the Snowden revelations, not much really happened to the governme…
That being said, I have heard that idea a lot --and again, I see how it could be a logical conclusion in certain (or even numerous) scenarios-- and I think that it might be fundamentally flawed.
Sometimes "but they don't care" sounds more like a line people use to avoid actually addressing people in a meaningful way than an actual summation of the situation.