"I've also put forward a detailed plan that would reform and strengthen Medicare and Medicaid. By the beginning of the next decade, it achieves the same amount of annual health savings as the plan proposed by Simpson-Bowles -- the Simpson-Bowles commission, and it does so by making changes that people in my party haven't always been comfortable with. But instead of saving money by shifting costs to seniors, like the congressional Republican plan proposes, our approach would lower the cost of health care throughout the entire system. It goes after excessive subsidies to prescription drug companies. It gets more efficiency out of Medicaid without gutting the program. It asks the very wealthiest seniors to pay a little bit more. It changes the way we pay for health care -- not by procedure or the number of days spent in a hospital, but with new incentives for doctors and hospitals to improve their results.
"And it slows the growth of Medicare costs by strengthening an independent commission -- a commission not made up of bureaucrats from government or insurance companies, but doctors and nurses and medical experts and consumers, who will look at all the evidence and recommend the best way to reduce unnecessary health care spending while protecting access to the care that the seniors need.
"We also have a much different approach when it comes to taxes -- an approach that says if we're serious about paying down our debt, we can't afford to spend trillions more on tax cuts for folks like me, for wealthy Americans who don't need them and weren't even asking for them, and that the country cannot afford. At a time when the share of national income flowing to the top 1 percent of people in this country has climbed to levels last seen in the 1920s, those same folks are paying taxes at one of the lowest rates in 50 years. As both I and Warren Buffett have pointed out many times now, he's paying a lower tax rate than his secretary. That is not fair. It is not right.
"And the choice is really very simple. If you want to keep these tax rates and deductions in place -- or give even more tax breaks to the wealthy, as the Republicans in Congress propose -- then one of two things happen: Either it means higher deficits, or it means more sacrifice from the middle class. Seniors will have to pay more for Medicare. College students will lose some of their financial aid. Working families who are scraping by will have to do more because the richest Americans are doing less. I repeat what I've said before: That is not class warfare, that is not class envy, that is math.
"If that's the choice that members of Congress want to make, then we're going to make sure every American knows about it. In a few weeks, there will be a vote on what we've called the Buffett Rule. Simple concept: If you make more than a million dollars a year -- not that you have a million dollars -- if you make more than a million dollars annually, then you should pay at least the same percentage of your income in taxes as middle-class families do. On the other hand, if you make under $250,000 a year -- like 98 percent of American families do -- then your taxes shouldn't go up. That's the proposal.
"Now, you'll hear some people point out that the Buffett Rule alone won't raise enough revenue to solve our deficit problems. Maybe not, but it's definitely a step in the right direction. And I intend to keep fighting for this kind of balance and fairness until the other side starts listening, because I believe this is what the American people want. I believe this is the best way to pay for the investments we need to grow our economy and strengthen the middle class. And by the way, I believe it's the right thing to do.
"This larger debate that we will be having and that you will be covering in the coming year about the size and role of government, this debate has been with us since our founding days. And during moments of great challenge and change, like the ones that we're living through now, the debate gets sharper; it gets more vigorous. That's a good thing. As a country that prizes both our individual freedom and our obligations to one another, this is one of the most important debates that we can have.
"But no matter what we argue or where we stand, we have always held certain beliefs as Americans. We believe that in order to preserve our own freedoms and pursue our own happiness, we can't just think about ourselves. We have to think about the country that made those liberties possible. We have to think about our fellow citizens with whom we share a community. We have to think about what's required to preserve the American Dream for future generations.
"And this sense of responsibility -- to each other and our country -- this isn't a partisan feeling. This isn't a Democratic or Republican idea. It's patriotism. And if we keep that in mind, and uphold our obligations to one another and to this larger enterprise that is America, then I have no doubt that we will continue our long and prosperous journey as the greatest nation on Earth.
"Thank you. God bless you. God bless the United States of America."
Original source: Read the full text of Obama's speech on the GOP budget