I think the "logged in" label is a bit misleading, since most of us use cookies to automatically stay logged in. Perhaps a better name would be "daily visit" or something.
That's a fair point, perhaps it would be better labelled something like "daily visit".
My only issue is with members being given points just for logging in. It doesn't make sense (to me at least).
I originally thought this as well when we introduced the new system, but I've since come around to actually liking the daily 1up.
One of the complaints we sometimes get about the reputation system -- far more with the old system than the current one, but it's still mentioned occasionally -- is that a member can sometimes lose a lot of points just by asking a particularly stupid question, unintentionally giving bad advice, or even simply by posting a bad joke, and unfortunately it can sometimes seem like it's impossible to recover those lost points. It can also be very discouraging to a beginner to receive even a single down-vote on their first day if someone doesn't like the question they post, or similar.
In this way, I think giving users +1 for each day they visit the site provides a good natural balancing factor so that reputation can always be slowly recovered over time. By simply continuing to visit and participate you can gradually recover from a large loss of reputation, or pretty quickly recover from one or two errant down-votes.
...and as the example of glhf shows, this certainly doesn't stop the effect of consistent down-voting on a reputation; in my opinion this actually makes a particularly low reputation a better indicator of bad behaviour or spreading misinformation than it was with previous systems, because you know the user (assuming they're reasonably regular) hasn't simply made some mistake and had their reputation butchered years ago -- to get a really low reputation they must be consistently down-voted to counter-act the daily +1.
As a user said in another topic -- it's a single virtual "point" in an online reputation system -- 1 point doesn't cost us anything, and if it encourages more frequent visiting (which will hopefully lead to more posting) and keeps a few people happy it's probably a good thing.