@kfb, @damoshe – I understand the dictionary definition of ‘interacting with the world’. But – chassidim aside – the charedi yeshivish world also interact with the world in all the ways that conform with halocho. I think the main point that MO is different to Charedi jewry is in another point: something which sounds a lot better when slipped in as part the ‘interacting’ spiel, but perhaps not so noble when examined on its own. And Damoshe pointed it out himself; they don’t shield themselves or their children from outside influences.
As a few posters pointed out, you cannot confuse those who are not Shoimrei Halocho with the ideal MOs; no ideology would be supported by competent MO rabbanim which allowed any breach in Halocho. But I also think that the ‘not sheltering our children’ attitude is a sad result of the MO hashkafa, not the hashkafa itself. And that is what leads to the startling number of people who associate themselves with MO who are not Shoimrei Torah uMitzvos.
Popa – In true PBA style [is there any way to express my reaction to your inimitable style without descending to the degrading level of ‘lol’ or the demeaning emoticons? “Snort”?], you pointed out something very important. The people who are not shoimer halacha in Chareidi world do not let it become part of their shittos. The “theory” of yiddishkeit and the practice are unfortunately too different. But when the wrongdoings enter the ideology – when people do it beshitta – you know something is wrong.