Holy fucking shit. Seven years old... says "it's fun to do bad things" and that his friend (also 7 years old) "smokes cigarettes".
I would would pay to bail his grandmother out of jail for beating his little ass with the buckle end of the belt... especially since the little bastard thinks he should get a "weekend of no video games" for what he did. He should be beaten with the cord of the controller... and then with the fucking console.
You want to know about Armageddon? Here it is. An entire generation of little thugs who have no respect for anyone or anything. By the time he's twelve, he'll have stolen at least two more cars. By the time he's fifteen, he'll have spawned with some little skank whore and she'll download a muling little cabbage twice as bad as him. He'll be a grandfather by the time he's thirty (though he won't know it) and his grandchild will be born with a bandana pulled down low over his eyes, 40 in one hand and a .25 automatic in the other.