Whether I care about choice, or the illusion of choice, will naturally depend on the circumances.
A little illusion of choice can be a good thing. It's not like every dialogue option can branch out on infinite paths, and it can help immersion to still have dialogue options anyway.
On the other hand, some games ask you "yes or no" a lot, but you can't proceed until you say yes, and that REALLY rubs me the wrong way. I'm not sure if that counts as illusion of choice, however, given how clearly you have to say yes.