Deficit is an idiotic way of measuring anyting, all that means is for this year we added another 1.1 trillion to our debt.
That's like say, "Oh i made 50K this year, and speant 60K, so i ran a defecit of 10K, and my i still own the bank 90K, but were doing good"
Stupid, how can people be so stupid to think that just because we lowered our defecit we are doing anything good. What would be good is if we alternated years of surplus and defecit, so we are not wasiting money, but not hording money to the point were not allocating resources.
This is true to, majority of major party changes have occured after a split in the party. Republicans are pretty unified here. But i can see maybe a third party come into play, those republicans who are not so stringent on non-economic republican issues, and those democrats who hate our spending ways, an actual Moderate party.
A historical example would be when Teddy ran for office, creating his own party in the process. Or when the south divided during the Civil War over the slavery issue. Usually major issues are the ones lead towards political party changes. Its just that these two parties have polarized the agenda so much, and made us believe its a black and white view of the world, its hard to see a new political party.
Though i will say this, republicans need to get there head out of there ass. Especially in immigration, they could win over tons of votes if they just say, "we want to deregulate the government so you have a better shot at starting the life you want." Most latino's are very hard working people, and will be stout republicans, if republicans just show a bit of compassion, and actually work towards promoting making small business champions of America again.