"Which I think should NOT be the default behavior: It "fixes" potentially incorrect code by throwing even more potentially incorrect code at it. I can't remember a single instance where I wanted that behavior."
While I wish this option would disappear completely, I think at least it should be off by default.
There are plenty of examples (e.g. here or here) where an auto feedback node insertion covered up a serious dataflow issue by making the VI no longer broken. This is a disservice to the new programmer who might not even understand what a feedback node really does.
A feedback node needs to be intentionally placed in all cases.