I presume Krugman said “real solution” because “final solution” was already taken:
Some years down the pike, we’re going to get the real solution, which is going to be a combination of death panels and sales taxes. It’s going to be that we’re actually going to take Medicare under control, and we’re going to have to get some additional revenue, probably from a VAT. But it’s not going to happen now.
BTW, both Palin and Krugman have clarified their original remarks. Krugman is the one we don’t want to have anywhere near the levers of power.
BTW(2), this is an example of why we should not be seeking solutions to our problems. We should instead seek to ameliorate them. (I’m trying to break myself of any lingering tendency to ever speak of any reform as a “solution.”)