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Well put. It seems to me that there is a lot of room for a moderate libertarian party, which could sit between the two major parties as a reform-oriented 3rd party. The majority of the electorate is uncomfortable with the idea of government regulating their bedroom activities, and is highly alarmed with the profligate spending and clearly unsustainable entitlement obligations, and is very skeptical of overseas adventurism. If this 3rd party simply co-opted the Democrats social policies and the Republicans fiscal policies, but with a reformist, common sense, moderate-libertarian bent, it could probably win enough seats in Congress to become legislative kingmakers - especially with an electorate as disgruntled as in the last two cycles.

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