The Republican brand was destroyed because under Bush because the GOP lost failed to maintain their fiscal responsibility. The Republicans have been revitalized because the Democrats under Obama have lost their political minds and gone on a deficit spending tear that threatens to collapse the U.S. economy under the guise of saving it.
Actually, looking at the situation economically, deficit spending in order to flatten out a recession, followed by using any eventual surpluses in order to help pay it down, is almost always the way to go. The numbers involved might be mind-blowingly huge for the average person, but for the American government, this is really no different than one of those small businesses taking out a loan in order to invest in itself.
The economic situation we find ourselves in due to mistakes made on Bush's watch is not a reason to support Obama and the Democrat's madness. And the American are much wiser to Obama's game and do not support it.
I seriously think the American lack of support is being overblown. Polls show the average American doesn't even know what is going on and is trying to sift through the bullshit and lies to get to the truth.
By the way, Obama and the Democrats
increased military spending and several Democrats are in favor of extending the Bush tax cuts

:
The Hill.com
And it's about time somebody did. Obama decided to get it done and made a push to do so. There is something that we have under Obama that we don't really have Bush to thank for: withdrawal dates.
If the stimulus were significantly more robust we would have a 2 Trillion dollar stimulus that didn't create high paying jobs with benefits, that didn't reduced unemployment and didn't repair our failing infrastructure - just like now, only waste more money.
Obama was told by the Republicans to help small businesses who create the majority of jobs. Obama and the Democrats failed to cut taxes for small businesses enough to create significant job growth with the stimulus because small businesses fall into their "can't cut taxes for the wealthy" evil. That is the reason for the numerous subsequent 10 billion dollar JOBS Bills passed to do what the Republicans told Obama to do in the first place. The Stimulus was a waste of tax payer money and Obama has no idea what he is doing.
I always find this particular talking point riotously stupid, but I find it even MORE stupid that so many people buy into it.
Here is an economic formula for you: C + I + G + Nx = GDP. That's Consumption, Investment, Government Spending, Net Exports, and Gross Domestic Product. Consumption is the amount that people spend, and this is determined by the following formula: C = A + MD.
Consumption function: Definition from Answers.com for explanation. Of importance is MD, or marginal propensity to consume and disposable income. Basically, as disposable income goes up, so does spending. Also, Americans are notorious for having a very high M value; we don't save worth a damn. Also, increasing Consumption will increase GDP, which tends to equate to more prosperity for everyone.
Now go to any small business that has had to cut jobs. ANY small business. And ask them why they had to lay people off. You could also ask anywhere in the retail and restaurant industry. The reason why is simple: they don't have enough people spending enough money there. If decreased revenue equals fewer jobs, then increased revenue equals.......
Injecting money into the economy at either end will work for everyone eventually. This debate is actually just a reflection of values. The Republicans are seeking to help out the businesses first and have the benefits trickle down, whereas the Democrats are seeking to help those on the bottom first and have the benefits trickle up. From a purely pragmatic viewpoint, that is, the greatest good for the greatest number, I agree with the Democrat solution, because I think more people will see the results faster.