This the CBS news special report President Obama after the election I'm Dan -- even Washington. In the east room of the White House mr. Obama is about to speak and we believe it's mostly about efforts to avoid the so called fiscal cliff. Requiring negotiations with congress. CBS news correspondent Peter -- you're at the White House set the scene. Well -- at the scene is the east room the president about to address the nation this is the first time that we'll be seeing him since his election night victory speech. He's going to outline what a White House official describes is a call for action to. Bolster the fragile economy tackle the budget deficit. And he will announce that he's calling congressional leaders to the White House sometime next week for talks on as you mentioned Dan. The fiscal cliff that tax increases and spending cuts that would start to kick in early next year. Without a deal with congress so that's the the scene here today at the White House has any invited audience of Obama's supporters and a staffers in the east room awaiting the president. Arrival now. Yes I think some of them will be standing behind him. To symbolize that middle class Americans as the White House puts it one there to be a deal with congress CBS news correspondent Bob Fuss you're on Capitol Hill just bring us up to date as to what's going on because speaker of the house John Boehner the Republican spoke about this too. He did that not so long ago and he of course now is the top Republican the leader in the country. And what he said as he wants to negotiate but he doesn't want an increase in tax rates the president is coming -- to the east room actually it's the audience coming into these drum that's gonna spend one -- this -- our two minute warning. Have a another minute or two before the president himself comes. Yeah it looks like there are gathering behind him as I was saying speaker Boehner says there are no. Tax rate hikes that that Republicans will approve and what he's talking about is he saying well maybe we can have some revenue. By having tax reform by -- closing loopholes and and lowering rates. And that of course is exactly what Republican Mitt Romney was campaigning for the president has been campaigning to. Increase the rates on those making over 250000 dollars a year and of course he won the elections and that's what is gonna wanna do the Republicans say they won their elections also. And so that the battle lines I think. Or are broad. Yes I suppose everyone's looking for possible compromises so right now there are let me count 57910. Fourteen. American citizens. Standing behind. The podium in the east room of the White House podium where the president will address the nation. This is expected to be able to easily took about fifteen residents and the vice president of the United States. They were both reelected this past Tuesday -- send except for his victory speech in Chicago. Very late on Tuesday night. Is the first time the president is addressing the nation coming in with a smile wave. Vice president Joseph Biden at his side applause from members of the White House staff some invited guests. Again behind the president fourteen American citizens -- listen to the president of the United States. Good afternoon everybody. Now -- those of us on the campaign trail have had a chance to get mostly. It's time to get back to work and there's plenty of work to do. As I said on Tuesday night the American people voted for action not politics as usual. You elected us to focus on your -- not hours. And in that spirit I've invited leaders of both parties to the White House next week. So we can start to build consensus around the challenges that we can only solve together. And I also intend to bring in business and labor and civic leaders from all across the country you're from Washington. To get their ideas and input as well. At a time when our economy still recovering from Great Recession. Are top priority has to be jobs and world. That's the focus of the plan how I talked about. It's the collateral -- small businesses and manufacturers the great jobs here not overseas. The plan to give people the chance to get the education and training that businesses are looking for right now. It's a plan to make sure this country. Is that global leader in research and technology. And clean energy which won't attract new companies and high wage jobs to America. It's a plan to put folks back to work including our veterans. Rebuilding our roads our bridges and other infrastructure. And it's a plan to reduce our deficit in a balanced and responsible way. Our work is made that much more urgent because at the end of this year. We face a series of deadlines that require us to make major decisions about how to pay our deficit down. Decisions that will have a huge impact on the economy and the middle class both now and in the future. Last year our work -- Democrats and Republicans to cut a trillion dollars worth of spending we just couldn't afford. I intend to work we're both parties to do more. And that includes making reforms that will bring down the cost of health care so we can strengthen programs like Medicaid and Medicare for the long haul. But I've said before. We can't just cut our way to prosperity. If we're serious about reducing the depths. We have to combined spending cuts -- revenue. That means asking the wealthiest Americans to pay a little more in taxes. That's how. -- That's how we did it in the 1990s when Bill Clinton was president. That's how we can reduce the deficit while still making the investments we need to build a strong middle class and strong -- That's the only way we can still afford to train our workers or help our kids pay for college. Or make sure that good jobs and clean energy your high tech manufacturing. Don't end up in countries like China. Already -- put forward a detailed plan that allows us to make these investments while reducing our deficit by four trillion dollars over the next decade. I want to be clear I'm not -- to every detail of my plan. I'm open to compromise. Are open to new ideas. I'm committed to solving our fiscal challenges. But. I refuse to accept any approach that isn't balanced. I'm not gonna ask students and seniors and middle class families to pay down the entire deficit. While people like me making over 250000. Dollars. Aren't asked to pay a dime more in taxes. How about. I wouldn't want. Wanna point out this was a central question during the election. It was debated over and over again on Tuesday night we found out that the majority of Americans agree with my approach. And that includes Democrats independents and allow Republicans cross country as well as. Independent economists. And budget experts that tiger reduce. The deficit with a balanced approach. So our job now to get a majority in congress. Reflect the will of the American people. And I believe we can get -- Jordan. I was encouraged to hear speaker Boehner agree that tax revenue has to be part of this equation so I look forward to hearing his ideas when I see him next week. -- make one final point that every American needs to hear. Right now if congress fails to come to an agreement on an overall deficit reduction package by the end of the year. Everybody's taxes won't automatically go up on January 1. Everybody's. Including the 98% of Americans who make less than 250000. Dollars a year. That makes no sense. It would be bad for the economy. And would hit families that are already struggling Americans make. And fortunately we shouldn't need long negotiations or drama to solve that part of the problem. While there may be disagreement in congress over whether or not to raise taxes on folks making over 250000. Dollars and your. Nobody. Not Republicans not Democrats want taxes to go up for folks making under 250000 dollars in -- So let's not wait. Even as we're negotiating a broader deficit reduction package. Let's expand the middle class tax cuts right now. But -- right now. That one step that one step would give millions of families 98%. Of Americans. And 97%. Of small businesses. The certainty that they need. Going into the new year. It would immediately take a huge chunk of the economic uncertainty. All the -- And that'll lead to new jobs and faster growth businesswoman all of that consumers. They're not gonna see a big tax records -- -- that. More small businesses won't see as tax increase and so a lot of -- certainly bigger reading about that will be removed. In fact the senate has already passed. A bill doing exactly that's all we need is action from the house. I've got them -- signed the bill right away. No ma'am. Way. -- -- -- the American people understand the we're gonna have those differences and disagreements in the months to come bigger threat. But on Tuesday they say it loud and clear that they won't tolerate dysfunction. There won't tolerate politicians who view compromise -- a dirty word. Now when so many Americans are still a lot of work. Now when so many families and small business owners are still struggling to pay the bills. -- the American people are looking for his cooperation. They're looking for consensus. They're looking for common cents. Most of all they want action. I took deliver for them in my second term and expect to find willing partners in both parties to make that happen. So let's get to work thank you very much. The president of the United States speaking from the east room. The White House. Live coverage from CBS and the president was speaking to us supporters who of course were very pleased that he. -- was reelected this past Tuesday. Instead it's time to get through. Some of these citizens who were standing behind. -- -- -- This was before. Was about avoiding the fiscal cliff let's wrap up play go to our correspondents at the White House and on Capitol Hill. CBS news White House correspondent. Niedermayer I heard the word compromise. And that's something that Americans probably wanted to hear go -- -- Well that's right -- the president also laid down some for markers markers that are very familiar to people who followed his campaign. And everything from the convention to the debates to election nights that. Victory speech itself. He said there have to be spending cuts but they have to be combined with higher taxes on the wealthy the president said. He won't accept any approach that is not balanced. And in this Obama White House. Balance has always been that the word that means higher taxes on the wealthy. Along with the selected spending cuts and he'll only go so far on that as we saw Ian previously yet failed negotiations with the Republicans on Capitol Hill. The president firmly said he has a mandate he saw it on election night. Behind the scenes then publicly the White House pointing to 47%. Figure 47% of people -- exit polls said. They agree with the president on higher taxes for the rich people with household incomes of more than 250 grand a year and the president said. He intends to deliver in his second term. I think as sort of a response to some Republicans on Capitol Hill already suggesting that he does not have a mandate Dan. CBS's the. -- merit the White House and at the capitol. Correspondent Bob -- what's gonna happen now is it clear our our leaders of the house and senate going to the White House. Well I mean they'll go when they're invited I'm sure next week but it's not clear how this is going to be settled at all. It's not surprising the president is is laying down this line on taxes it's been his position all along the Republicans have also laid down the line saying no tax increase on the wealthy and you know if they. Do what the president asked which is. Extend tax cuts for 98% of Americans they lose all the political leverage to keep them for the top 2% so I don't expected that to happen without a fight. Help a lot of coverage coming up in the weeks ahead no question. A sense of a deadline of course on New Year's eat this has been a CBS news special report a statement by the president of the United States. With correspondent Bob -- and Niedermayer. I'm Dan revealed CBS news.