Privacy setting question

I thought I'd worked out what the privacy settings of Public, Members, and Fans meant. I figured that Public meant anyone could see it: members and non-members alike; Members meant only members could see it; and Fans meant someone could see it only if they had joined the group, event, or whatever.

But I just realized that when "Members" is set in the privacy curtain, it no longer shows up on the browse pages of its module, it is hidden. So now I"m curious, have I misunderstood what these settings are referring to?

Which module are you referring to?

Also, which block is it?

Groups & events... I haven't checked the other ones yet. But I'd assume privacy settings work the same across the board? And the blocks are recent clubs, upcoming events and recently added events. And any of the ones on the homepage that groups & events feed into.