"Users" folder shared without restrictions?

Gentlemen,

I believe the right way to testing is achieved by using Windows 7 RC as my unique OS. And that's what I am doing right now. When you have only one OS on your system, you feel like the problems arriving must be corrected instantly.
Let me share with you one of the problems I discovered over my Windows 7 system today.

I'm on a home network now, using a home wireless "router" connected to a cable modem and the cable modem is the gateway to the Internet. This is a pretty commom configuration these days.
The computer I am using is a notebook with a wireless G connection.
I've never configured my Windows 7 homenetwork after installing the system. But I remember being asked to choose between private and public. The thing is I've chosen "private".

Today then, I was "surfing" throw the homenetwork (that has 5 computers) and mine was listed. What caught my atention was that there was a folder name "users" completed opened under my computer's name.

Clicking on the folder "users" I discovered that the entire folder was been shown. All the files, all the subfolders.
I changed the homenetwork from private to "public". That made no difference to the sharing of the "users" folder.
Instead then, I chose to right click the folder "C:\Users" and check for its sharing options.
I was suprised that it was shared already.

Now, follow me, if I share under Windows Vista or 7 a subfolder of the folder "users", all the folders before it will be shown, BUT ONLY THE FOLDERS NAMES. What happened here is that all the files and subfolders of the folder "users" were been shown.

What an issue!!!

:D