So we want a new definition then?

The issue as I see it is that folk clubs and festivals have become a platform for singer/songwriters, many of whom write great songs and are excellent performers, but my personal opinion is that many modern songs should not be regarded as 'folk' merely because they are accompanied by an acoustic guitar. That's not to belittle those songs in any way, as many of them have a real value and have their place. Our OP alluded to this by pointing out that he would regard some of the songs he's written as 'acoustic pop'

We also cannot allow our traditions to stagnate and die, so there must be scope to maintain and develop that tradition.

So how about this as a new definition:

Folk music is the music of the people and of communities.

Traditional folk songs and tunes are those songs or tunes from antiquity that have been passed down by an oral tradition or circulated at the time of writing via broadsheets and similar methods.

Modern folk songs and tunes are those songs or tunes that are influenced by and respect the tradition of their country or area of origin.

Collectively, both can be known as 'folk music'

There you have it, the 2014 definition.

John