Great post called “Liberalism unbound: Shifting the center of gravity in American politics” at The Reaction. Rather than trying to convince you to go read it with the first few sentences, in this case the final paragraph should do nicely:
Remember that America is fundamentally a liberal society. If presented with conviction and compassion, a liberal vision for America will resonate once again with Americans. Don’t expect 1964 all over again, but there’s no reason why liberals can’t balance out conservative efforts to define the parameters of American politics. If they succeed, if we succeed, America may soon look and act more like itself again.