I would argue that this may be one of the best possible computer-related stocking fillers. Used religiously this would vastly improve the security of most users, as explained by the other posters. As well, the conversation it starts may be even more helpful. Explaining why writing down passwords is actually a good idea will go a long way towards educating people about the actual risks of passwords. Maybe you can convince somebody to use a software password manager instead and they'll use your gift for grocery lists. Either way, mission accomplished.

Writing down complex passwords is often better than using simpler ones you can remember. Especially if it reduces password reuse.

The probability of your home or work place getting burgled is probably lower than the chance of the N random websites you have passwords for getting hacked or burgled.

A list of passwords written down is a whole lot more secure than a single really simple passwords used on each site. And if you keep the book as secure as your car keys, it's as secure as an average user is going to be.

It's more portable that software password managers, though the passwords are likely to be less secure. Then again, I keep ending up having to narrow down what characters I can and cannot use in a password after generating them, so you can't make as much use of that as you'd want. A lot of user will still just use '1234' everywhere, but for most users it might actually be pretty good.

On top of that, having a list of accounts makes it easier to cross reference them when you see a news report about a site's password database being leaked.

I don't think that is ill conceived - I would be much more comfortable giving non-technical users something like this and telling them to:

a) keep it physically safe

b) use a relatively simple, memorable cipher (e.g substitution)

c) use a different password for each site

... rather than trying to get them to use LastPass or Password Safe or the like.

A kindle version of this would probably qualify for 'most ill conceived' however ;)

Alright. Let's take a personal inventory.

Chance of burglary: ???% Chance that one of the 1000 sites you signed up for gets hacked because they're bad at security: ???% + 1

I'd much rather buy this for my grandparents and have them use 1000 complex passwords than have them use one password for everything and have them be screwed when X Service gets hacked.

But let's be serious, this isn't going to get stolen.

If it gets stolen, you lose your identity. If you lose it, you can't get access to your life. Awesome

Ok it's more secure against bruteforce hackers at the other end of the world, but you'd better have nothing to hide to your wife, children and coworkers with this kind of tool.