I'm really surprised this raised such turbulance. I think its partly because Sarah Palin was a fresh face, in an increasingly cynical and predictable political climate. The sheer befuddlement of professional pundits and politicians in her party is an indication of how jaded and claustrophobic the political 'class' has become. They simply can't understand anybody who is not driven by overarching political ambition.
In truth they really just wanted a symbol and lightning rod for the culture wars in America. There is no one else who can replace her at this point, as a spokesperson for social conservatism. She never had any chance of being President. Her miscues and foibles showed how out of her depth she was on the national political stage.
That's not a slight on her character. Just the opposite. What she lacked was something every other Presidential candidate has.. a ruthless commitment, above all principle, to achieve and wield power.
Sarah was just too nice a person, and everyone in the political sphere knew it. She resented being the the butt of jokes, and the target of character assasination. She's completely distracted by family issues, and always was. She took the attacks personally, whereas it washes off real politicians like water, who will turn and charge equal vigour.
She'll make likely 3 or 4 million bucks over the next two years on book deals and speaking engagements. Then she'll fade into the background.. go back to fishing and hunting and taking care of her young family. And won't miss politics in the least. Good for her.