Ilya Somin feels liberaltarianism isn't on the horizon:
Back in 2006, I argued that liberals and libertarians have stronger philosophical affinities than libertarians and conservatives. But I also doubted in that same post that a liberaltarian alliance was feasible because most liberal intellectuals are loath to emphasize those parts of their agenda that justify shrinking government and liberal politicians are strongly beholden to interest groups with a vested interest in expanding it.
Virginia Postrel made a similar argument about liberals, libertarians, and regulation last week.
2006-2011 archives for The Daily Dish, featuring Andrew Sullivan