In the demo, they actually showed you that in Google Buzz you can put GPS at work and it will tell the best possible location and only after you have pressed "OK" it will make it your location.
Google Latitude lets you update your status manually and I tend to put it at city level.
Right, I have the option to choose from many nearby locations but they're all very precise (even if they're not accurate). I want something that's accurate but not precise. It sounds like Goolge Latitude has it. Hopefully they'll add it to Buzz too.
Google Latitude lets you update your status manually and I tend to put it at city level.