Seth Godin has posted a non-z-list. Looks like Mack Collier started the fun here.
Sooner or later, this approach will start exhibiting the same issue as a chain letter or other pyramid scheme -- the folks at the top will get lots and lots of clicks, but once a quarter to a half the available population is participating, there won't be enough clicks to go around.
Of course, no "real money" is involved, so it's okay, right? Well... maybe. On the other hand, maybe clicks are the new currency. Where do you want your clicks (eyes, attention) to go? What do you want to recommend to your friends?
Perhaps you trust Seth enough that you're willing to look at the blogs on the list he posted, even though he admits that he hasn't had time to look at them all. I prefer to post my own list of favorite blogs. I have looked at and enjoy these regularly:
Schneier on Security
Martha Barnette's Orts