I've worked with children, and I've watched them pick up new, nonsense and specialist words faster than I have, and deduce or divine their meaning and usage with amazing accuracy.
Plural of anecdote is not data, but your comment is in contrast to my personal experience.
Agreed. My kids (aged 6 and 8) picked up rock climbing jargon from my wife and I (and our friends) rather quickly, and began using it in the proper context. Nothing turns heads like a five year old asking "mommy, did you send that boulder problem?"