It’s called functional literacy, which is what’s being talked to here. Also, your anecdote fails to address other possibilities. I have a friend that, under stress of a new location, may lose the ability to read menus, and their literacy matches other academics in their field. I am a reader that cannot read aloud because that is an entirely different skill than reading.
No, most people are not illiterate, you’re confusing literacy with media literacy because that’s what you want to talk about instead.
There is a difference between “I don’t know what that sign says” and “I don’t know what this book means.”
It’s called functional literacy, which is what’s being talked to here. Also, your anecdote fails to address other possibilities. I have a friend that, under stress of a new location, may lose the ability to read menus, and their literacy matches other academics in their field. I am a reader that cannot read aloud because that is an entirely different skill than reading.