Everyone thought Obama caved in 2010 during the debt ceiling showdown when he agreed to extend the Bush tax cuts for those making over $250,000 a year. The left gnashed their teeth, the right gloated.
But apparently Obama did the opposite of caving, and instead enacted a secret second stimulus worth $238 billion, according to Mother Jones' David Corn.
Republicans wanted to extend the tax cuts across the board, and threatened to let ALL the tax cuts expire if they didn't get it. Against the wishes of many Democrats, Obama gave Republicans what they wanted - but he got some other stuff too. He used the legislation that extended the Bush cuts as a Trojan horse packed with stimulus goodies like the payroll tax cuts and extended unemployment insurance.
"Obama had won $238 billion of stimulus in return for yielding on $114 billion in high-income tax cuts," Corn reveals. The idea that he caved during the 2010 negotiations was a "myth," Corn argues. But it was politically convenient for Republicans, who were able to declare a big win.
Via David Corn at Mother Jones.