I/O pins can be made outputs and on some PICAXEs you can configure internal pullups. Don't forget leg4 on the 18M2 is input ONLY.
You CAN leave it floating, but the OFFICIAL stance is to tie it down. I often leave them floating, the only time it is an issue is if you are looking for minimum current consumption or high accuracy ADC work. Each time an input changes state (a floating input will often synchronise with mains and toggle at 50/60Hz) it draws a significant amount of current from the supply for a very short duration. This causes unnecessary current draw and puts noise on the supply rail. Also, adjacent ADC pins will be slightly effected by a very small amount, especially if their source impedance is higher than recommended.
If you are short of space, not after ultra low power consumption and not using high accuracy ADC, then leave them off. But if anybody asks, say I said to fit them.
As for decoupling caps. Fit them. Always fit them. Never forget to fit them. If you don't fit them, don't come crying to me!