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Manchester Orchestra – It's Ok With Me Lyrics 16 years ago
I think its more than just an inadequate relationship. The speaker is "settling", so its not that they could be with someone better, its that they can't. There is no one else, so the relationship isn't the problem, its the fear of being alone.

Each time they have a fight (mentioned in the first verses), they want out, but where to go - "i still run around like i don't have a home, cause even when i'm around, i've got no place to go."

But now the speaker's lover has had enough - she is okay with facing the loneliness - "so how can i tell you i need you to stay?" - but he is not. Thus he wonders if god or fate or whatever will actually allow him to die alone, which essentially says that his choices are to be alone, or "settle." And without the person he settled for, its obvious which choice he is left with.

A very sad song, in the least.

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