The only places where it would help with funding would be the places where funding is negotiable (as in, not the Ivies or Stanford). Some places just give everyone the same package.
Let's say you interview somewhere and you know that the final decision will be made partly based on who they think are most likely to accept their offers. Would it be a good strategy to tell the school directly that they are your first choice and you would accept the offer? Or is that somehow a faux pas?
I wrote a whole new paper twice, once when I applied for an MA and again this year for PhDs. I don't think writing a new paper is too much work to secure 5-7 years of your future.
I know that, at Stanford at least, Middle Eastern language and literature study is very "in" right now. So if you emphasized that in a statement of purpose for a Comp Lit PhD you should be good. Not enough native-speakers apply to those programs.
I guess it depends on the relative size of different departments. Some schools have much larger Comp Lit departments relative to language depts (like Stanford). This makes it pretty easy to find a language teaching position.
Except generally comp lit students have the option to teach foreign language classes, which is considered much more marketable than adding yourself to the already flooded pool of English PhDs qualified to teach freshman comp. I suppose there would be a high demand for language instructors in the most popular languages, like Spanish and French.