Google collects your system data every few hours. Even when your not browsing on it. That's why its easier for the authorities just to subpoena Google than a VPN provider in another country.
Go here enter your IP and look up on the satellite MAP. If you want to throw off Google remove your...
Yes you have to install it no it does not have to stay installed.
Since you haven't tried it you wouldn't know.Ask toolbar is bloatware or nagware as they call it.