How media-literate are we?

At the moment, I’m reading Naomi Wolf’s The Beauty Myth. None of what I’ve read so far (which admittedly isn’t even half of it) seems new to me, which I think says volumes about how the book has been received and how much people really are picking up on the pressures women face regarding beauty and how time and cost consuming that is and how it contributes to a vicious cycle of women being derided as worried about trivial issues such as hair and make-up.
One thing the book, quite aptly, points out is that women’s magazines receive a great deal of funding from advertisers who have a vested interest in making women feel bad about the way they are. They want women to feel as though they need to wear make-up or go on weight-loss programmes or slather creams all over their face. At the same time, I’ve noticed (particularly more recently) a consciousness about body-image and being positive for women. What emerges is not a wholly positive publication, but a very confusing one with an article about how to love your body mixed in with which lotions are the best (which, coincidentally I’m sure, are the lotions of sponsors) mixed in with a short article on someone in recovery from anorexia.
I remember being young and feeling bad after every time I read Dolly, without really understanding why. I’ve always intellectually known that models are airbrushed and that I could actually have a good life without smelling like Britney Spears (or rather, her perfume).
Is intellectually knowing enough? I get the feeling from others of my generation a great sense of cynicism and an awareness that products will not change/improve your life or help you get that guy or anything like that. Yet, most women I know wear make-up and update their wardrobe as per the latest fashion and shave and wax and worry generally about their appearance. At once we are incredibly media-literate, and yet the pressures of advertisers still get to us on a very base, non-intellectual level.
For me, it’s like the beauty myth has been completely broken and uncovered but also that it hasn’t stopped pulsating through the media and pressuring people. It’s distressing too because it isn’t something I can intellectually analyse any further, I know that it’s all lies.
This leads me to wonder: how rational is it possible for people who are being exposed to messages fairly constantly throughout their whole lives to actually be? How can we go past educating people on myths and start looking at emotions?