The Republicans lost in a landslide election to Barack Obama once again, however, despite Mitt Romney garnering a higher percentage of the popular vote than McCain did, he actually received less votes. They both harbored near 60 million, but it should go to show that the Republican Party itself is shrinking.
I don't think that this means the idea of liberty is dying, because I don't think the Republican party cares for it. The liberty candidate was Ron Paul, now I'm sure the Nobel Prize committee isn't going to award a Peace Prize to someone who actually preaches peace, but he was treated like scum by the Republican establishment.
It also shouldn't be a surprise to anyone that Ron Paul garnered enough votes in every "swing state" during the Republican primary to swing the election in favor of Mitt Romney.
Here is the issue at hand. Will the Republican Party do as Jim DeMint says and adopt Paul's ideas into the platform, or will it cease to exist as a party? If the Republican Party continues it's spiral, along with the downward spiral of American prosperity under Democratic/Republican leadership, will third parties grow to national relevance?
I don't have the answer to these questions, but I do think that either the Republican Party will make a serious effort to adopt libertarian ideas, or the Libertarian Party will be more than .5-1% of the national vote. Republicans have lost the popular vote 3 of the last 4 elections by popular vote, it appears the party that we had in 2000 is all but dead. Perhaps there is hope for either a revolution in the party or an emergence of new parties.