Hmmm sorry but Google does care about duplicate content... even within the same site. Otherwise they wouldn't care about URL canonicalization. They wouldn't have bothered to help create the <link rel="canonical"> element.
Much of your problem can be fixed by selecting a good theme. Themes that display the whole post on the home page, category pages, archives page, tags pages, etc. suck IMO from an SEO perspective. They create a lot of duplicate content on your site AND give other webmasters multiple places where they can link to your post.
Get a theme like Thesis from DIYThemes.com that supports custom excerpts. Don't even bother using the built in "read more" function because while it does reduce the amount of duplicate content on the site, it still allows the first XXX characters or words of the post to appear many places on your site.
By using custom excerpts, only placing a post in a single category, NOINDEXing all archives & tags pages... you can virtually eliminate ALL duplicate content on the site. Only the custom excerpt (which should be totally unique from anything in your post) is ever duplicated (between the home and category page) and only until the host rolls off the home page. Check out this post about SEO tips for configuring a WordPress blog for more ideas for dealing with duplicate content.
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