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President Obama: Budget Is 'Fiscally Responsible'

President Barack Obama speaks on the budget
Mandel Ngan | AFP | Getty Images
President Barack Obama speaks on the budget

President Barack Obama called his 2014 budget proposal a "fiscally responsible blueprint for middle class jobs and our economy."

"Our economy is poised for progress as long as Washington doesn't get in the way," he said Wednesday in the White House Rose Garden.

In his $3.8 trillion budget blueprint, Obama calls for investment in new roads and bridges, education, as well as making college more affordable.

(Read More: Obama Sends $3.8 Trillion Budget to Congress)

But he said his budget invests in these areas without adding to the deficit.

The budget also replaces, what Obama called the "foolish" sequester which is already hurting the U.S. economy. (Read More: Sequestration - CNBC Explains)

Obama said he's met Republicans more than halfway on cutting the deficit, stating that he has already signed legislation that will reduce the deficit by $2.5 trillion, with more than two-thirds of that coming through spending cuts and the rest by "asking the wealthiest Americans to begin paying their fair share."

He expects his 2014 budget to cut another $2 trillion from the deficit, but doing so in a "balanced and responsible way."

He said that tax code reform is needed so that wealthy Americans and corporations cannot take advantage of loopholes.

"If you're serious about deficit reduction, then there's no excuse to keep these loopholes open," he said.

Obama's remarks also addressed entitlement reform. "Both parties agree that the rising cost of caring for an aging generation is the single biggest driver of our long-term deficits," he said.

"If we want to keep Medicare as well as it has," Obama continued, "Then we're going to have to make changes. But they don't have to be drastic ones."

He said the way to reduce Medicare spending is to cut the cost of health care, not shifting the burden to the elderly or the poor.

Judd Gregg and Ed Rendell, co-chairs of the Campaign to Fix the Debt, said in a statement, "While ideally the president would go further toward ensuring the debt follows a downward path over the long term, and not just this decade, the proposal represents what could be a starting point for productive and bipartisan budget negotiations."

Obama also called on both parties to have "a serious, reasoned debate" and come together around common sense and compromise.

"If anyone thinks I'll finish the job of deficit reduction on the backs of middle class families or spending cuts alone," he said, "they should think again."

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