OH! And if I had known more about the human body, I wouldn't have thought I had LUPUS when it was freakin cellulite (I had asked my dad, who is a doctor, what would cause bumpy, dimply skin, and his response was "I dunno, maybe lupus.") Then, when I learned what cellulite was, I thought I was a fat freak (when really I was pretty fit teenager who happened to have a little cellulite--skinny people get it, too!).
So if the question is whether children would be traumatized by their naked parents, they absolutely are not, in my opinion.
Fear of nudity and embarassment by exposure to it is a learned response. If they never learn it, it wouldn't be "traumatization" issue within a family. Community acceptance would be a concern to deal with, but why should you raise your kid with that in mind all the time?
American-Puritan nudity-fearing culture be damned. I think kids would have fewer self-esteem issues if they were raised with the idea that "everything about your body is good and natural."
And eating at a diner! More like a DINAR! Filthy Iraqi currency. TURRURRIST!