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You're right. That's how it works and what makes it effective.
It's far worse than that. It starts slow. But once they got several distinct factors, those multiply and it goes down fast. Think for example location tracking. There might be 5,000 people around. Or passing a cellphone tower along the highway roughly at a similar time. Then you take a single second measurement, when they head back home. And you got them. It's very unlikely that two or more people pass that point twice at the same time. (Exceptions apply.) Or browser fingerprinting. There are websites where you can check your browser fingerprint. They've always told me mine is unique amongst hundreds of millions of internet users. They only need half a dozen or a dozen or so different factors to narrow it down to one exact person (or device). It's not always like this. But more often than not.
Yeah, I guess they're not stupid. There are a lot of simple and effective things available. I'd pick the low hanging fruits, too. That's a sound choice.
Sure. I'm not an expert on this. I have to look up most things you said. But US foreign policy sure had it's positive and negative consequences. For a lot of countries, in the middle east and all around the world.
I'm pretty sure that's not always conspiracy or intended. But yes, a lot of that is consequential. Or symbiotic. And for example the politicians and big tech companies aren't entirely separate from each other. There is a lot of lobbying and money involved that also gets things going in some direction someone likes. I think it's important to point out that we have counterexamples. Like regulations that limit the companies. Sometimes they get fined. They can lose in court and be forced to do things. So not all is lost. But other times politics doesn't limit their greed. Or make them pay taxes. It's a mix.