Do you really think our chances have improved now to get more tax cuts???? As for spending, non defense discretionary spending has been pretty much flat since Pres. Bush took office...it's the entitlement spending that's gone nuts (aka soc. sec. & medicare), & it will continue to as more baby boomers hit retirement over the next couple of years. A democratic Congress doesn't exactly help spending either.
We weren't getting any tax cuts these next two years anyway so nothing has changed.
The prospects of a further tax cut in 2008 depends on the GOP and if they can drop the "compassionate conservative" angle. If we nominate a viable fiscal conservative then the chances for further tax cuts are really good.
BTW, its the creation of new entitlements that had a large impact on depressing the base tonight. The brainchild of those entitlements has been the GOP.