The current plan under discussion to solve the "display" issues is this (and only as an optional feature; users can also stick with the current display type):
Mutual Friends (can't hide) -- these are people you list as friends that also list you back as a friend.
Other Friends (can't hide) -- these are people you list as friends that don't list you back (we might just call this "Friends" instead of "Other Friends". Or maybe "My Friends").
Friend-of (may hide; but only all or nothing) -- these are people that list you as friends, but you don't add them back. Note that this only means "incoming only" when you choose to use this display method. The classic display method still shows all friend-ofs.
So. Um. Yeah, There was an argument here, and it's moot, because I misread the proposal.
What this actually does is this -- divides my userinfo up into
- People I've friended who friended me back
- People I've friended who haven't friended me back
- People who've friended me who I haven't friended back (which I can hide completely, thus avoiding people looking directly at my info and whining "Look what a bitch she is that she's got 200 people reading her who she wouldn't friend back" but which even if I don't hide them, is clearly marked as "People I haven't friended."
Well, hell. That works for me. Objection withdrawn.
That said, I don't have much in the way of problems with the proposed future system - ("Friends" to describe the "trust" and "trusted by" list and "read by" and "reading" (with the potential ability to hide some journals that you're reading) for the reading list. As long as it solves its own display issues or provides the same mutual/other/friend-of options as above.