I've been arguing this w/ my friend for many days, Is he even right?

[billybeartku]

okay, so here's the HH from my other friend, not a complete one but I guess it's very early stage. big blind is 20

dealt to hero 8c4c
utg called 40
utg+1 folded
mp1 called 40
mp2 folded
co called 40
button folded
hero called 20
bb checked

flop

7c6c2h
everyone checked to co, CO went all in for 750
everyone folded.

okay, as played, flop is def. a fold, that's not a problem
the problem is the preflop, as me and most my friends were all agreed it's a fold preflop. Our friend, let's call him Tim, insists that you def. have to complete your sb there. Why? according to him, he said 1. you're calling 20 to win 180, even if you have 27, you still need to call. 2. 84 is unlikely to be dominated, QJ is much worse than 48 here (WTF!?)plus you have 3.5% chance for hitting two pair + trips, 6% for flush plus str8. 3. M is so big, you call pretty much with everything here.

So I listed tons examples his 48 won't be in good shape even if he flops two pair or trips or even str8. Then he kept telling me that bottom two is better than top two BECAUSE top two get stacked by bottom set but bottom two is less likely to be counterfeited and get stacked by top set because if someone has big pair, they should've raised preflop.

I kept telling him bottom two is no way better than top two but he just doesn't wanna believe me.

My question is..do you guys complete preflop? or fold it all day? I personally muck it all day no matter how big/short my stack is, because I really can't think of any flops that's really really good for 48c and would make 48c tons chips.
I told him calling preflop here w/ 48c is a - chip and -$EV move. He just doesn't believe me.

What do you guys say?

I think he's an ididot?