I‘m in the camp that believes Republicans have no choice but to agree to raise taxes on the top 2 percent of earners. The party has been successfully caricatured as the servant of the rich. This is unjust, yes, but justice is imperfect in this life. It’s political suicide for Republicans to stand fast on maintaining current rates for high earners even at the cost of raising taxes for everyone else. Imagine if we went over the fiscal cliff. In January, Obama would call upon Congress to pass a law restoring the tax rates for 98 percent of filers. What could Republicans do then, refuse?

There is a time for strategic retreat. Republicans are not without tactical opportunities, though. They can reply, as my friend Michael Medved has suggested, that if the Clinton tax rates are desirable, so are the Clinton spending rates. They could resurrect a budget from 1998 and pass it. Democrats would protest that 1998 spending rates are not remotely commensurate with our needs. But wait, don’t they argue that the Clinton years were economic utopia? Were people living in cardboard boxes on the streets in the 1990s? While they’re at it, they could propose Clinton levels of regulation, too.