Catagories VS. Tags

What the heck. I just upgraded my Wordpress to 2.5 (from 2.2 maybe?) and notice that my catagory cloud widget no longer works. Now there is a built-in widget for something called a Tag cloud.

Okay, so I think tags are the new catagories, but no… There are catagories and tags and even a converter to make your catagories into tags. So it looks like the idea is to use catagories and tags? I don’t get that and would like someone to explain it to me. What is the difference between catagories and tags? What is the point? How do these things help someone blog?

I mean I get the idea of having a cloud as a visual representation of the subjects you post about. I get the idea of having a list of “subjects” associated with posts, so that you can see all the posts associated with any given “subject.” But what is the point of having two lists of “subjects” wether you call these tags or catagories.

If only there was a way of finding answers on the internet!

Showoff.

ER, I mean, thanks! :)