I also do not want to get sucked into a discussion about the definintion of folk music but I would like to make an observation. It seem like the term "folk music" no longer means "music of the people" any more than "modern art" refers to "art that is current." In both cases the terms are no longer accurate for what they label.

There are probably hundreds of songs that most people can sing from memory without ever consiously learning. Most are pop tunes from one period or another. It seems to me there should be some term for these songs that everyone seems to know. They are not folk songs but have gone beyond the lifespan of the average pop song and become a part of our common experience.