In the end....Dems suck
There is a good reason why Bush was able to win in 2004. If you all recall the inside the beltway democrats sat on their ass while Kerry crashed and burned. They sat their as if it were not their business whether Kerry won or not. Yes, I know, a few were front and center, but the power was not.
The Republicans have handed the Dems more material with which to bury the Repubs daily. But as they have failed to do for years, they fail to close the points. Instead, they think that since they get it all, i.e., that they understand the implications, that therefore everyone else in the US gets it and thus they can win by default (a mistake Kerry made when he failed to respond to the Swift Boaters). They are deluded as they are wont to do.
My take: If the Dems cannot take the House with these facts on the table, then you can kiss 2008 goodbye. Even if they do, you have a Dem in mind who can capture the majority of electoral votes? Now be serious.