I don't think it's a matter of being too trusting. I know what I'm getting into by using Windows.

I don't sweat it because I know I did everything I could on my end to minimize being spied on without it really affecting me in a negative way. Like you said, I don't have time to match the efforts of full time govt employees.

I spent a grand total of 30 minutes researching and tinkering with privacy related settings since I started using Windows 10, and I'm ok with that.

I use the tool I linked not only for modifying my hosts file, but it's a 1 stop menu to access all of Microsoft's scattered privacy settings.