I think you're conflating the terms "blood libel" and "pogrom." If Sarah had used the latter term, I would definitely agree with you, but even by the most strict and clear-cut definition of the term "blood libel," it precisely defines the leftmedia's actions following the shooting.
A child disappears in medieval Europe - perhaps falling into a river or a pig pen. A frantic search is mounted for the child, to no avail.
Leaders of the town then loudly proclaim without a shred of evidence that the town's handful of Jews must have kidnapped the child, killed her, and used her blood for baking matzah, "because everyone knows that's what they do."
That action on the part of the leaders is what constitutes "blood libel."
When the leaders suceed in inciting a mob to burn down the synagogue and lynch the town's Jews, that is a "pogrom," not a "blood libel."
I hope this clarifies why Palin's use of the term "blood libel" is exactly precise and accurate.
It certainly does, thanks.
Oh, watch out for the sycophantisizers!
: > )