They'd end up on a no fly list and be deprived of basic liberties to travel with no right to appeal secret courts and determinations. Or they'd get invasive checks even though they are a kid, or in a collapsible wheelchair and obviously not a terrorist.

All because people can't understand the example in question, which appears in the first few chapters of most introduction to statistics books. And while all that money is being spent on useless checks the 9/11 terrorists, who the agencies were warned about, and the Boston bombers, who the agencies were ALSO warned about, are not followed up on because human and other resources are being spent on mass surveillance.

They'd be subject to background checks and surveillance that they ideally would not even notice - yes, I'm aware that we don't live in an ideal world, but the point is that traditional "leg work" policing is pretty good at determining whether a suspect is actually engaged in nefarious activities - but it's expensive and requires a reasonably narrow list of suspects to begin with.

Most likely nothing. It depends on what sort of test it is; if it's something non-intuitive like (say) a habit of writing sentences that always have a prime number of words in them, you'll get your false positives but most those people won't pass any other tests, whereas the actual terrorists will.

What Schneier is missing is that while you can't ID people that well from a single test, you can apply a bunch of them. In his example, one test improves the probability of correctly ID a sociopath from 4% to 24%. Apply another, different test of similar efficacy to that result set and you'll have a population of 21 true positives, and 8 or 9 false positives, increasing the probabiliy of a successful ID from 25% to ~70%. Sure, there's no single test that will give you reliable answers, but so what? It's OK to use a multi-pronged solution.