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Last year, my wife told our kids (8 and 5 at the time) the truth about Santa. The deal was they could not reveal the truth to other kids, or they wouldn't get presents from Santa this year. They held up their end of the deal. In fact, the 5 year old forgot that there was no Santa and was very excited. To me, Santa represents the true meaning of giving, where you ask for nothing in return.
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