Problems with Find My iPhone/iPod

It doesn't seem to able to locate the exact location of my iPod Touch. I have connected and disconnected wi-fi on my iPod Touch a few times to see if that helps. But it doesn't. MobileMe seems to say my iPod Touch is 10 blocks away from where I currently am when my iPod Touch is with me. This isn't just with the Find My iPhone/iPod tool though. The same goes with Google Earth app for the iPod Touch. They both tell me my iPod is 10 blocks away from where it currently stands. Does this problem only happen on some countries? I'm currently in New Zealand if that helps.

I really didn't think about it that way. Yeah bits of it is true. But if wi-fi tracking isn't that accurate, shouldn't the location change each time it is reset? Because I have tried resetting and it always gives me the same address that it did before I reset the wi-fi connection on my iPod.
There is one other thing that I forgot to mention. It showed me my exact location when I connected wi-fi internet through my cousin's internet connection a block away from where I lived.

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