But leaving health care out of the picture, the GOP got into such straits because of the "double whammy." It wasn't just the economy (and the deficits and Katrina) that turned a lot of people against Bush. If the high-profile Obamacons of 2008 are any indication, Iraq was as important.
You could argue that Bush's listlessness and inability to speak up for his policies had more to do with the economic crisis, and that the slump was more important to the average citizen, but for some traditional Republican voters Iraq was where the disaffection started.
Which goes back to Karl Rove's constant advice to Bush, never to reply to critics. I don't know where Rove gets that, and some people on FR have begun to wonder if Rove isn't working for the destruction of the GOP. If he isn't some sort of closet case trying to destroy America, conservatism, morality, and the GOP in no particular order, to advance some secretly-hostile agenda. I don't blame them. How destructive could Rove's advice possibly be, and not make people wonder?
The way I see it, that had something to do with it. All in all it was the housing crush that blew in big O. Repubs could have done something but Bush tried to little too late. Frank and Dodd blocked any effort knowing that the housing crunch was imminent (yes they did) and knowing that MSM and all would blame Bush-it was planned.