And by fouls, I mean touch fouls committed on you, not by you. Not calling fouls will make you tougher and better prepared to play in real games with refs. If you can take some abuse from a bad player during a pick-up game, you’ll be that much more prepared for someone tough in a game with actual refs.
Even Kobe has to play "no blood, no foul":
By playing without calling fouls you'll develop the mindset to play through everything, which in the end will make you a stronger player. Of course, don’t let your defender take advantage of you. If you get blatantly tackled on a lay-up and don’t say anything, your teammates will probably get mad at you. But, if you get bodied at the top of the court and then drive in for the score, you’ll develop respect from the players at the courts. Remember "No blood, no foul!"
Whatever you do, don't be like this guy: