I'm with you all it's a jungle and very confusing. I might be naïve, very naïve but I don't feel like a criminal when I stream movies or music online. But of course, I'm sure a lot of it is there illegally. But it's like buying a pair of shoes in some obscure market place and you have this feeling it's not right because there is no way the shoes can be the real stuff but on the other way you don't feel like a criminal and you're not hurting anyone - so you happily wear the shoes! (All the places I put "you" you might replace with "I" in the example above.

)
However, I wouldn't download (unless the artist had specifically given it free on a website) because somehow it feels like stealing - and also because I have this idea that my computer might easier catch a virus with downloading than streaming - which is probably wrong too.
It's like my mind works in an irrational/illogical way - very emotional. I go with a curious mix of what
feels right or wrong and what is
convenient to me without actually having a clue whether or not it's true. So to me it
feels wrong to download but it's very
convenient to watch movies online...
Like you said, there are different laws in each country which doesn't make it easier to figure out. However, I'm pretty sure you can't cut off someone's internet without warning since you pay for the internet service at the provider. I think if they really wanted to crack down on people they would show up at your house to arrest you and take away your hard drive as evidence.
[PS Gimli. I love the Lighting of the Beacons banner - but your banners change too fast to enjoy it.

]