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you're completely missing his point. He's saying that if black people didn't use the word, others wouldn't either. You don't even acknowledge that.
What's there to acknowledge ? I can't acknowledge an absurd statement.
There are entire swaths of humanity that still use the n word, and worse, to describe black people. Racism is very stong in many countries in Western Europe : especially Spain, Italy, and parts of France. In these countries, it's common to use a term even more offensive than the n word. In Eastern Europe, racism is epidemic.
In America, there are large sub-cultures that use the n word to describe any black man. In my experience, Eastern Europeans and Russians are especially likely to use the n word. But I've also heard it used by less-acclimated members of the Asian and Indian (India Indians, not Native Americans) communities. And upper class South American culture completely condones use of the n word. I've heard upper-class Argentinians and Chileans use the n word as if there was no other word.
America has to set the example for the world. Those African Americans who allow white people to call them by the n word are setting an extremely bad precedent for their race. No black leader, businessman, academic, or other member of the intelligentsia (such as jazz musicians) would ever want to be called by the n word. Neither would extremely successful black popular icons such as Tiger Woods, Michael Jordan, Phil Ivey. Self-respect starts with demanding respect from others.