I believe I have figured out how to properly understand Darth Ultron's posts. I shall respond to them with that new understandnig.
Ah, I'm glad that you agree that your described method of Railroad DMing is incorrect, and that you actually don't create random junk, but instead listen to your players and allow them to have impact on your setting.
Good, we're making progress! Since you understand now that players are not jerks, but rather cooperating to form the game with you, it's clear that you are an excellent improv DM who does not railroad.
I'm not sure why you're limiting yourself to Zom only having a dagger, since you could definitely have him go to a store and buy a sword, but since you are afraid of being inconsistent lest you engage in randomness, that's your prerogative. We do need to work on your notion of an evolving setting.
I'm glad you agree with my points.