Have not heard the water heater business. Must have something to do with scalding. Just pull the thing out and use cold or boil a pot or two when someone has a baby.
Scalding sounds right, but this is more about control via ‘energy consumption’. Now the new water heaters use less energy.
I prefer to wash my towels, blankets, etc in hot. I also enjoy long, hot showers. This requires *hot* water! As an adult, I’ve learned not to scald myself.