I read this article before, and it is clear that economic populism (mixed with fiscal Pay-Go conservatism) is the only force that can keep the Democratic Party united.
Are you sure? I can easily see a non-insignificant currently Democratic voting block that might be pused out of the party that way. Actually, thinking of it, I see at least two such blocks: a lot of moderate intelligentsia (your average economics professor) and the big chunk of Hispanics and some other migrants. There are might not be that many votes involved in the first group, but it could very well make it again intellectually reputable to be a self-professed Republican in certain circles: at the very least, it could erase a big chunk of the media's alleged "left-wing bias". As for the second, it would be all too easy to portray (w/ some justice) such stands as, primarily, racist: a George Bush type of a Republican could very well become an attractive option for some of the minority groups.