Protecting Ourselves from Ourselves

There's been some recent talk about how we need more regulation around product placement in TV programs.

Seriously?

Don't we think consumers are savvy enough to understand that product placements are designed to sell more stuff? From the Coke cups on American Idol to the dresses worn by actor and actresses... don't we all know and understand that those are all product placements? Isn't that how TV started in the first place? As one big product placement venue?

Is it just me, or does it often seem like we spend a lot of time regulating in the wrong areas?