Face it, the idea was so outlandish that liberals believe that it is an actual possibility. Just like all of the other stupid policies of a liberal government. That is how far we have come.
I think the country is so polarized that the presidential election will be pretty close, no matter who the Republicans nominate.
With that being said, the Republicans need to decide if they want to attract the moderates to make the election closer. If they nominate someone polarizing like Palin, the moderates will stay away. Same thing will probably happen if they nominate someone too conservative.
Reagan proved that a conservative can attract moderates, and some Dems too. But he spent years campaigning and was well known by all. I just don't see anyone like that in the current class of Republican candidates.