What 'misunderstanding'? I don't want people knowing what third party links I'm clicking on. There's no misunderstanding. I understand it perfectly. I just don't want it. I disable 3rd party HTTP referers as well (using the RefControl extension). Sure it's not the only way sites can implement this behaviour, and I'm glad an official way exists... but only so Google will use it and then I can disable it. The argument against having an off switch is basically 'well, they're going to fuck you anyway, so bend over and here's some lube'.
You say 'some self-styled privacy advocates' are fear-mongering, well its because webheads keep implementing insanely harmful features and aren't actively making the web better for the privacy concious. They (we, I guess) are grossly under-served.
The response to link tracking should be "Hmm, how can we have websites ask for this permission, and shut down all these nasty means of doing it?" not "oh boy, these people are tracking people in an ugly way, how can we make this fast?". But guess which one is actually a hard problem.
Do you suppose that most everyday users know (not suspect, but know) that Google are watching every link they click on? A technologically illiterate user base cannot consent.