Filtering IS a pain point if you have very different audiences amongst your facebook 'friends', like real friends vs co-workers vs parents. Not having filtering may prevent you from making a personal post that would be funny to your friends but crude to others. The author asks how many people want fewer readers of their posts, but for non-technical users, number of readers isn't a concern at all. Publishing something embarrassing then remembering your grandmother is now a friend, on the other hand, is an annoying concern.
There's still a question, though, of whether people will think it's worth the effort to categorize all their contacts. I'm not sure how many will bother.