As opposed to a password manager, where it's trivial to know every password within if you know the master password?
This:
'facebook' + 'mypassword'
'twitter' + 'mypassword'
'foursquare' + 'mypassword'
Password manager with unique passwords: 'mSX32ZyKZXptY3E'
'33RiKbc3n6sA6IY'
'4kGzFtWDd0rnti6'
All I have to do is figure out what you named the site that I compromised, then do exactly what I'd usually do to recover your password, and, voila, I can now access all sites you use it for. Compare this to the password manager example where each password has been generated at random--one password communicates no information whatsoever about the other.