I would be inclined to agree with someone further up the list who said "Indian what?" I think it's an adjective in my mind. I've somehow dissassociated the word from a mental image of a "typical" North American Indian. In Manitoba, something like 4% of the population is Native so they're not some sort of mythical cultural group. They are a bit more mythical in Newfoundland because the Natives here, the Beothuks, were pretty much killed off by the usual colonization factors; disease, encroachment of their lands, alcohol, and so on.
The weirdest thing about reading the responses was this US usage of "Native Americans". In Canada we use Aboriginal or First Nations or Native. (I think we don't like the term Native Americans because they're Native Canadians!) I didn't know these words were not used south of the border until I read all the preceding messages. However, the government department which deals with their concerns, administers terms of treaties, etc., is still called The Department of Indian and Northern Affairs. They haven't PCed their name yet.
My response in conversation would be "Indian? [blank look] Native or India-Indian?" (Still not terribly clear but anyone I would talk to would understand what I was asking.)
