We were pretty much the same with our 3 kids (now grown). We had cable but no xbox or Nintendo. They were into horses and were at the barn most of the time, working, mucking stalls, riding. Didn't hang out at the mall or stare at a computer screen all night. Homework came first and they knew if their grades dropped, the horseback riding would be the 1st thing to go. Our kids also sometimes complained that we didn't have any game system, pool table, party basement, etc. but I said "Tough".
It's not easy raising kids but I can stand on my front porch and look at a number of houses that have kids (young adults actually) that never come out of the house, have no aspirations in life and the common thread is: they're into Internet gaming and their parents encourage it.
So I can safely say that I don't know the perfect RIGHT way to raise kids, but I can sure say what doesn't work as evidenced by just what I see in my neighborhood.
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