Reagan lambasted deficits his whole political life, but eventually had to sign on to them, because there was simply not the national public will to do anything about them. Likewise, Reagan promised to cut DOE and DOEd, but didn't lift a finger against them, because there was not a national "small government" mood. But Reagan had that "small government" philosophy and he did what he could, including slashing federal regulations. And eventually that philosophy caught on with Republicans in Congress during the 90's. GWB nor his father have that philosophy.
To what extent Reagan's "small government" philosophy was any more deeply-held than Bush's "compassionate conservatism" means little if the OUTCOMES are not much different. My point stands: on the issues where Reagan saw the writing on the wall, he punted. Bush has done the same thing, and I would too in his shoes.
Or, he could become a sacrificial lamb and all the conservatives would thump their chests, then whine about the next four years of Pres. Dean, followed by Pres. Clinton for eight. No thanks. I'll take pragmatism any day.