Republicans should call the president's bluff and enact his "plan" in its entirety.
They should make clear that they don't believe it will work and that they think it will lead to disaster, but since the president has said repeatedly that he will veto any bill that doesn't raise taxes on those evil rich people, they are just going to stand aside and let our courageous and brilliant president work his economic magic.
It's far better than the alternative, which is that the republicans cave, they reach some phony deal, and then get blamed for the ensuing disaster.
Wash your hands of it! There is no better option.