You are browsing this post and almost all the websites in the world keep log of your activities and browser information. They can identify who you are and what you are reading/searching.
I have heard people saying I have nothing to hide, but we all know that no one can lie to a serach Engine like Google. And so people say google knows every thing.
Now think of it if some evil guy know everything about you. Like where you work and where is your home. Is that good or bad.
2. What is Anonymity