Is film grain a nostalgia effect? If kids grew up without seeing film grain, how would they feel about it?
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Film grain simulation can be an effect, but that's not the primary application being described here. As @ricardobeat succinctly put it elsewhere in this post, this process usually supports "a reproduction of the original grain pattern, compressed separately from the underlying image content. The result is closer to the original picture than the denoised/compressed version".
> If kids grew up without seeing film grain, how would they feel about it?
Film isn't quite dead yet, with ~7% of features in 2025 still being shot on film and maybe 1% more taking the digital→film→digital (a.k.a. "analog intermediate") route. Unless their media diet is all super-recent and low-quality, even today's kids will have most likely seen many movies shot on film with visible grain. Popular candidates would include the Harry Potter franchise, most episodes of the Star Wars franchise, early Marvel movies, many animated Disney and Studio Ghibli features, etc.