Genius Bonus: The long-term effects of the tickle belt are a textbook example of operant conditioning: Man Ray comes to associate acts of villainy with the feeling of being tickled into submission, forcing him to develop an aversion towards the very behavior that SpongeBob and Patrick were trying to diminish.
Patrick's walletExplanation SpongeBob's first attempt to teach Man Ray how to act "good" is to roleplay him giving Patrick back his misplaced wallet, only for it to go sour when Patrick repeatedly denies that it's his, even in the face of overwhelming evidence to the contrary. A photoset of the exchange became a popular source for edits in response to any perceived instance of Insane Troll Logic.
"Ma-ma-ma-Ma-ma-ma-Ma-ma-Ma! Ma-ma-ma-Ma-ma-ma-Ma-ma-Ma!"Explanation SpongeBob and Patrick's response to seeing the frozen Man Ray in the Merma-Lair is to stutter his name in fear. The bit became a popular source of video edits during the early days of YouTube.
Squirrel Jokes:
Alternate Aesop Interpretation: While the end of the episode appears to depict Equal-Opportunity Offender comedy as preferable to only targeting one group, it's also just as easy to read as advocating for humor that punches up rather than down (i.e. targeting people in power instead of belittling those lower on the social ladder). SpongeBob's new routine begins with Self-Deprecation (him being the one who whipped up anti-squirrel sentiment in the first place), pokes fun at Bikini Bottom's majority ethnic group, and cracks jokes about wealthy businessman Mr. Krabs that the latter gladly admits are grounded in reality.
Informed Wrongness: Squirrel jokes are treated as inherently offensive and hurtful. While Sandy was indeed right to object since people began making fun of her, it is clear that SpongeBob would go on to laugh at everyone and he has a point that we should laugh at ourselves. Also, the townspeople should not have taken it to face value. The ending even further proves his theory when he begins joking about everyone and himself.
Jerkass Woobie: SpongeBob. He definitely ended up being hurtful to Sandy through the squirrel jokes, but in some respects, he was forced to lest he becomes a laughingstock. He only came up with the squirrel jokes on a whim because all of his other jokes were getting an extremely cold response, and until he decided to ridicule himself, the crowd seemed to want nothing but squirrel jokes. It's as he says, "You've got a choice to make. Your friends... or your career."
"Stupidity isn't a virus, but it sure is spreading like one."Explanation Sandy's reaction to a mother leading her child away so they don't "catch" stupidity from the squirrel, following the popularity of SpongeBob's squirrel jokes. Screencaps of the quote instantly became popular reaction images in response to, well, outrageous displays of stupidity.
"Oh, brother, this guy stinks!"Explanation An audience member's volatile reaction to SpongeBob's botched first attempt at stand-up. Also popular as a reaction image.
Misaimed Fandom: In recent years, some fans used this episode to justify condemning comedy that offends people. The episode only condemned singling someone out, and that if you insult every group, it's okay.
The Woobie: Sandy. She was very hurt by the jokes at her expense, as well as people making fun of her because of them and some parts of the episode show she's on the verge of changing from awkward laughter to a Rage Breaking Point. You can't really blame her when she decides to teach SpongeBob An Aesop through example to make him realize the error of his ways.
