I'm actually not sure that reflects reality. Many of the concepts behind a lot of privacy stuff comes from a time and mindset when a camera was a unique device to carry around. Nowadays just about everything can have a camera slapped into it, and the reality is that the number of pictures being taken in any public place at any given time is far greater than it historically has been.
As much as I too dislike having my picture taken without consent, the reality of even small towns is that it's probable every person you pass has a camera, and pictures are plentiful as a result. Incidental pictures, pictures of an awkward moment or accident, or just something funny I think have to be expected more, if not by people actively photographing these with their phones/tablets, then passively by accidental photos and by monitoring systems.
I don't know if there is a good balance between the two since there's nothing inherently wrong about just taking a picture of your surroundings in a public place - the people there are part of what make the photo. To use an over-used expression, pin-hole sized cameras on phones were just opening pandora's box, and we can't really close that anymore. More than likely, the result of this will be photography obscuring clothing, styles, and technology, some of which others have already posted.