Larry Downing, Reuters

* Ezra Klein games out a possible compromise: Tax hikes on the rich will rise to 37 percent, not 39.5, allowing Republicans to claim a victory by limiting the damage of the inevitable Dem win. This would at least break rigid GOP orthodoxy on rates, I guess.

* And it’s true that at his presser today, Boehner actually did not rule out a rate increase.

* Nancy Pelosi casts doubt on whether Dems should accept only a partial rate increase, and for all the Beltway chatter about her lack of influence, it’s good that she’s out there insisting that Dems only accept a genuinely good deal.

* Paul Krugman has an apt warning for the White House as to how the Dem base will receive any agreement to raise the Medicare eligibility age:

Why on earth would Obama be selling Medicare away to raise top tax rates when he gets a big rate rise on January 1 just by doing nothing?…All that effort to reelect Obama, and the first thing he does is give away two years of Medicare?

* As Arthur Delaney details, it’s hard to see how the unemployment numbers, which were better than expected but still grim, give ammo to the GOP case against extending unemployment insurance rather than to the Dem case for extending it.

* Matt Lewis on why the GOP is losing the fiscal cliff standoff: The battle is being fought entirely on Dems’ turf.

* Good Jonathan Bernstein post on the incentives reporters have to avoid telling the full truth about the contemporary GOP — the terror of getting labeled a Democratic “shill” — and how this makes it impossible to get the big story right.

* Also: Dan Froomkin talks to Norm Ornstein and Thomas Mann, who literally wrote the book on false equivalence and the GOP, about what he calls the biggest story of Campaign 2012: The “off-the-rails lurch of the Republican Party, both in terms of its agenda and its relationship to the truth.”

* Ron Brownstein on why the GOP’s best hope is to embrace immigration reform, even if it means Obama will get credit for it, because at least Republicans won’t be actively obstructing it. This underscores how difficult the GOP’s Latino dilemma has really become.

 * Andy Kroll has a useful overview of the “right to work” showdown in Michigan, and national labor’s plans to ramp up the organizing and turn this into a national showdown, with Governor Rick Snyder as the new Scott Walker.

* The final tally of all the cash spent by Mitt Romney and Republicans: $1.18 billion. Check out the Post’s nifty chart on all the spending right here.

* Jennifer Rubin rounds up the angst among conservative intellectuals about Jim DeMint’s ascension to lead the Heritage Foundation. Is a think tank led by Jim DeMint still a think tank?

 * And just in case you missed it: The official White House photo of Obama accepting Romney’s resignation call.

What else?