If that is the case, won't the expiration of the Bush tax cuts be a good thing?
And that's exactly why going off the "fiscal cliff" is not a disaster for Republican Congress, that most old and tired political retreads commentators on the left and the right (with the convenient "polls" to "prove" it) are trying to tell us and the weak-kneed House Republicans.
The reality is that this is actually an opportunity: the problem will be much bigger for "conservative" Democrats in the House and the Dems in the Senate (e.g., see Democrats urge delay for 'job-killing' Obamacare tax - FR / WE, by Byron York, 2012 December 13).
Dems will have to deal with the screaming constituents who will be hit with real cuts in the programs, increased "Clinton taxes," and real layoffs by the "evil 2 percenters" (which would happen anyway with Obama's tax rate increases, independent of whatever happens with the other tax rates).
Obama may count on being able to offer the so-called "tax cut" (reverting to Bush tax rates for "everybody but top 2%" but the Republicans can offer "comprehensive tax reform" reverting to "Bush tax cut" (which suddenly will become very popular with the "poor" and even the liberal "middle class" set) and also offer to remove Obamacare's taxes on medical devices (see link above) and Obamacare's 3.8% tax on dividends and capital gains (same rationale as "job-killing" taxes on the "middle-class job creators").
In other words, Obama wants "pain" because he thinks he can get advantage from it, the GOP House can use the same pain to attract enough "conservative" Dems in the House and the Senate to push Obama, because they will not survive 2014 elections.
Political jiujitsu, plain and simple. This is a great opportunity - think what Nancy Pelosi would do with Republican President if the roles were reversed. The alternative is forever cowering in fear for the next round of class warfare.