None of those assumptions are made, at all.
First, I asked what the endgame is, not what it is right now.
First, that everyone has a similar level of things to be embarrassed about.
And yet here we're discussing a law that leaves the amount of damage to be done to freedom of information up to the whims of each individual person who thinks they should be able to censor some piece of data, rather than any kind of objective test. Including the "rich and powerful".
Second, that wealthy and powerful people won't simply sue or bribe publishers to withhold or delete the embarrassing material.
That does not work in the real world. The rich and powerful have been trying to restrict information getting out for years. Snowden and Streisand are living proof of this. The continued explosions in the faces of people who try to do this are further proof.
That old saying about the internet interpreting censorship (and we can quibble about the wheretos and the whyfores all day long, but at the end of the day, this definitely fits the definition of censorship) as damage? That doesn't stop applying just because legislators want it to.
Third, that living in a panopticon is a good thing. I'm a little perplexed at how people who find NSA surveillance utterly unacceptable and wish to be able to shield private information..
In every case we're talking about here, it's not "private" information. It's information that's always been there, for free, to anyone who cares to look. Arrests are not private information, neither are blog comments, neither is anything else you do in the public eye. I find it repugnant to suggest that removing that information from one or two places makes it as if those things never happened.