NL25 - Line check, 88 vs bad LAG

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Hey,
It's about time to get serious after 3 years of break even poker ranging from NL10 to NL10k (not kidding), so here goes my first ever hand posting.
MP is about 35/30/5 and raises rubbish constantly. I later picked him off in a 4bi pot, but I still want to know if you would have played this hand differently than me and if so why.

I think it's very standard not to reraise preflop, but when I had done so vs this guy in the past he had been very willing to call me down, so 88 might be enough to do it here?
On the flop I didn't raise because I wanted him to continue bluffing, but my hand might have been too weak for that in this spot? I think I give free-cards too much vs this type of opponent in my attempts to make them bluff into me.
Finally, since I am almost 100% sure that he has air when he checks the turn I didn't find any reason to value bet the river, but maybe I should have?


Full Tilt Poker - No Limit Hold'em Cash Game - $0.10/$0.25 Blinds - 6 Players - (LegoPoker Hand History Converter)

SB: $25.90
BB: $12.20
UTG: $47.90
MP: $24.55
CO: $3.85
Hero (BTN): $42.75

Preflop: Hero is dealt 8[img]/images/graemlins/heart.gif[/img] 8[img]/images/graemlins/club.gif[/img] (6 Players)
UTG folds, <font color="red">MP raises to $0.85</font>, CO folds, Hero calls $0.85, 2 folds

Flop: ($2.05) 7[img]/images/graemlins/heart.gif[/img] 3[img]/images/graemlins/diamond.gif[/img] 3[img]/images/graemlins/heart.gif[/img] (2 Players)
<font color="red">MP bets $1.75</font>, Hero calls $1.75

Turn: ($5.55) A[img]/images/graemlins/spade.gif[/img] (2 Players)
MP checks, Hero checks

River: ($5.55) 5[img]/images/graemlins/club.gif[/img] (2 Players)
MP checks, Hero checks

Pot Size: $5.55 ($0.25 Rake)