CBS news special report of Steve case and President Obama is about to hold the final news conference of his first term of the White House in just a moment or two. He of course will be sworn in for his second term next weekend in a public ceremony week from today. We expect him to begin with a statement on upcoming fiscal deadlines such as the debt ceiling he'll likely be asked about the battle ahead with congress on that and about gun control a month after the new town tragedy. White House correspondent Peter Mayer is along -- us Peter those issues will likely dominate. That's right along with some foreign policy challenges relations with Russia other things on the agenda for the president. Steve he wants this unfiltered opportunity to discuss the second term agenda starting with the upcoming economic fight you mentioned. Republicans -- promising another bruising showdown over the debt limit in the next month or so some leading Democrats say the president should be ready to raise it on his own the debt limit that is the government so borrowing and spending power. Of the White House has been reluctant to let. Go that far of course we also expect those questions on no gun control gun violence in general since Vice President Biden will be delivering his report to the president here. At the White House tomorrow -- And Peter other issues likely to come up his cabinet nominations and the influence of women in the second term. Well there have been a number of questions about that from us supporters and adversaries alike of course. There have been a number of challenges from the Republican side in some questions from Republicans about the selection of former Nebraska senator Chuck Hagel. A Republican to be Defense Secretary questions about mr. hagel stands on. On Israel and questions most recently raised by some Republicans about the Eagles temperament so. That will be yet another issue that the president and make -- about today. The president coming into the east room now and here is the president of the United States. -- feeder -- good morning. I thought it might make sense to take some questions this week as my first term comes to an end. It's been a busy and productive warriors and I expect the same for the next four years. And -- to carry out the agenda that I campaigned on an agenda for new jobs. Opportunity. And new security for the middle class. Now right now our economy is growing. Our businesses are creating new jobs so we are poised for a good year. If we make Smart decisions and sound investments. And as long as Washington politics don't get in the way of America's progress. As I said on the campaign. One component to growing our economy and broadening opportunity for middle class. Is shrinking our deficits. In a balance and responsible way. And for nearly two years now I've been fighting for such a plan. When that would reduce our deficits by four trillion dollars over the next decade. Which would stabilize our debt or deficit and sustainable way for the next decade. That would be enough not only to stop the growth of our debt -- the size of our economy but it would make it manageable. So it doesn't crowd out investments we need to. -- people in. Education and job training in science and medical research all the things that help us world. Step by step we've made progress toward that goal. Over the past three years I've signed into law about one point four trillion dollars in spending cuts. Two weeks ago I signed into law more than 600 billion dollars in new revenue by making sure the wealthiest Americans begin to pay their fair share. When you add the money will save an interest payments on the debt. Altogether that adds up to a total of about 2.5. Trillion dollars in deficit reduction over the past two years. Not counting the 400 billion dollars already saved from winding down wars in Iraq and Afghanistan. So we've made progress. We are moving towards our ultimate goal of getting to four trillion dollar reduction. And there will be more deficit reduction when congress decides what to do about the one point two trillion dollars in automatic spending cuts that. Have been pushed off until next month. The fact is though we can't finish the job of deficit reduction through spending cuts along. The cuts we've already made to priorities other than Medicare Medicaid social security and -- Mean that we spend. On everything from education to public safety. Less as a share of our economy. Than it has then has been trooper generation. And that's not a recipe for growth. So we've got to do more -- to stabilize our finances over the medium and long term. But also spur more growth in the short term. I survived I'm open to making modest adjustments to programs like Medicare to protect them for future generations. I've also said that we need more revenue. Through tax reform by closing loopholes in our tax -- for the wealthiest Americans. If we combine a balanced package of savings from spending on health care and revenues from closing loopholes. We can solve the deficit issue without sacrificing. Our investments in things like education that are gonna help us grow. Turns out the American people agree with me. They listened to an entire year's debate over this issue. And they made a clear decision about the approach they prefer they don't think it's fair for example to ask a senior pay more for his or her health care. Or scientist to shut down lifesaving search so that a multimillionaire investor compare last. In tax rates than a secretary. I don't think it's Smart to protect and most corporate loopholes and tax breaks. For the wealthiest Americans rather than rebuild our roads our schools invest in our workers' skills or help manufacturers. Bring jobs back to America. They want us to get our books in order in a balanced way where everybody pulls their wait. Everyone does their part. That's what I want as well that's what I've proposed. And we can get it done. But we're gonna have to make sure that people are looking at this any responsible way. Rather than just through the -- of politics. Now the other congressionally imposed deadline coming up with the so called Betsy. Something most Americans. And even heard of before two years ago. I want to be clear about us. That debt ceiling is not a question of authorizing more spending. Raising the debt ceiling does not authorize more spending it's simply allows the country to pay for spending. That congress has already committed to it. These are bills that -- have been racked up. And we need to pay it. So while I'm willing to compromise and find common ground over how to reduce our deficits. America cannot afford another debate -- this congress about whether or not. They should pay the bills they've already racked up. If congressional Republicans refused to pay America's bills on time. Social Security checks and veterans benefits will be -- We might not be able to pay our troops were on our contracts with small business office. Food inspectors air traffic controllers. Specialist who dragged down lose nuclear materials wouldn't get their paychecks. Investors around the world will ask if the United States of America is in fact they say that. Markets could go haywire interest rates would spike for anybody who borrows money. Every homeowner with a mortgage every student with a college loan every small business owner who wants to grown higher. Would be. A self inflicted wound on the account. It would slowdown -- wrote my activists in a recession. And ironically. Would probably increase our deficit. So even entertain the idea of this happening of the United States of America not paying its bills. Is irresponsible. It's -- As the speaker said two years ago it would be and I'm quoting speaker Boehner now. A financial disaster not only for us but for the worldwide account. So we got a -- -- And Republicans in congress have two choices here bacon act responsibly and pay. America's -- Where they can act irresponsibly and put America through another economic crisis. But they will not collect or ransom and exchange for not crashing the American economy. The financial well being of American people is not leveraged to be used. The full faith and credit of the United States of America is not a bargaining chip. And they better -- quickly because time is running short. Last summer Bogans in congress even flirted with -- -- -- -- AAA credit rating was downgraded for the first time in our history. Our business is creative fewest jobs of any month in nearly past three years. And ironically the whole fiasco. Actually added to the depths. What should be surprising given all this talk of the American people think Washington is hurting rather than helping. The country at the moment. It's either representatives consumed with partisan brinksmanship over paying our bills. Well they overwhelmingly want us to focus on growing the economy and creating more jobs. Let's finish this debate. Let's give our businesses and the world the certainty that our economy and our reputation are still second to -- We pay our bills we handle our business. And then we can move off because Americans want to do. Got to create more jobs got a boost the wages of those who have work we've got to reach for energy independence we've got to reform our immigration system. We've got to give our children the best education possible and we've got to do everything we can't. To protect them from the horrors of gun violence. And -- am grateful to vice president Vice President Biden for his work on this. Issue of gun violence. And for his proposals which. I'm gonna be reviewing today and I will address the next few days and I intend to vigorously pursue. So. Would that I'm gonna take some questions. And I'm gonna start with Julie pace of AP and I want to congratulate -- for. This new important job. About gun violence today marks one year one month anniversary it was in the town which. Seemed to generate some momentum -- -- assault weapons ban. But there's been -- fresh opposition to that and from the NRA and even Harry Reid has said that he questions whether that passed congress. Given that how hard we push for an assault weapons ban and -- one cannot pass congress what other measures would need to be included. In a broad package in order Q curb gun violence successfully full. As I said the vice president and number remembers my cabinet. Went through very -- process over the last month. Meeting with a lot of stakeholders in this including me are. Listen to proposals. From all quarters and they presented me now way. A list. Sensible common sense steps can be taken. To make sure that the kinds of violence we saw -- Newtown doesn't happen again. I'm going to be meeting with the vice president today I expect to have. -- Fuller presentation. Later in the week. To give people some specifics about what I think we need to do. My starting point is not to worry about politics my starting point is to focus on what makes sense what works. What should we be doing to make sure that our children -- There were reducing the incidence of gun violence and I think we can do that the sensible way that. Comports with the Second Amendment. And then members of congress I think you're gonna have to have a debate and examine their own conscience. Because. It if in fact and I believe this is true everybody across party lines was is deeply moved. And and and saddened as I was. By what happened in -- Men. We're gonna have to vote. Based on what we think is best we're gonna have to come up with a answers. Set politics aside and and that's what I expect. Congress to do but but I know what you can count on is that the things that I sit in the past. The belief that we have to have stronger background checks. That we can do much better job in terms of keeping. These magazine clips with high capacity. Out of the hands of folks we shouldn't have them. An assault weapons -- is meaningful. That those are things like continue to believe. Makes sense that okay well well well well all of them. Get through this congress. I don't know but. What what's uppermost in my mind is making sure that I am honest with the American people. And were members of congress about what I think will work. What I think it is this something that will make a difference and to repeat what I said earlier if if if there is a step we can take that will save even one child. From what happened in new term we should take that step. All present the details later in the week. -- -- NBC. As you know senate Democrats Harry Reid's actual letter from. -- you essentially. To take considers some sort of an executive action. This debt ceiling issue and you say you're negotiating. Your administration has ruled out the various ideas and after the fourteenth amendment just this morning. 01 of the house democratic leadership. Ask you to use the fourteenth amendment -- that sometimes that's what things he brought up -- major proclamation. As for the executive action when congress would act and compared -- debt ceiling to that so are you considering the -- If not well. Well -- The issue here is whether or not. America pays its bills. We are not a deadbeat nation. And. So that there's a very simple solution -- this. Congress authorizes us. To. Pay our bills. Now it if the house of the senate. Wanna give me the authority so that they don't have to. Take these tough votes. If they want to put the responsibility on me they're raised that -- -- that would take it. Mitch McConnell. The Republican leader in the senate had a proposal like that last year. And I'm happy to accept it. But if they wanna keep this responsibility than they need to go ahead and get it done. And -- -- there are no Ol. Magic tricks there are no loopholes there are no. You know easy outs. This is a matter of congress. Authorized to spend. They ordered me to -- They tell me. You need do. Fund our Defense Department at such and such a level. You need to send out Social Security checks. You need to make sure that you are paying to care for our veterans. They lay all this up warming. And because they have the spending power and so I am. Require by law. To go ahead and pay these bills. Separately. They also have to authorize a -- -- were in order to make sure those bills are paid. And so what congress can't do is. Tell me just spend acts. And then say but we're not gonna give you the authority to go ahead and pay the bills. And I and I just want a repeat because I think. Sometimes the American people. Understandably aren't falling home all the debates here in Washington. Raising the debt ceiling does not authorize us to spend more. All it does is say. That America will pay its bills and we are not a deadbeat nation. And the consequences of us not paying our bills. As I outlined I -- opening statement would be disastrous. So I understand the impulse to try to get around us in a simple way. But there's one way to get around us there's one way to deal with -- and that is for congress. To authorize. Me. To pay for those. Items of spending that they have already. Authorized and the field. But the notion met. Republicans in the house or maybe some Republicans in the senate. Would suggest that in order for us to get our way. On our spending priorities. That we would risk. The full faith and -- of the United States. That I think is. Not what the founders intended that's not -- -- I think most Americans think our democracy should work. You know they've got a point of view. Democrats in congress may have a point of view they need to sit down and and work out a compromise. Well -- chuck there there are. There there's a pretty straightforward enormous and that is to set the debt ceiling -- side. We pay our bills. And that we have a vigorous debate about how we're gonna do further deficit reduction in a balanced way. I keep in mind that. You know what we've heard from some Republicans. In both the house and the senate is that they rule only increased bets -- doing. By the amount of spending cuts. That they're able to push for. And in order to replace the automatic spending cuts this question that's one point two trillion dollars say takes another trillion. Or petroleum to. To get us through one more year. They'd have to identify it 2.5 trillion dollars in cuts just to get the debt ceiling extended to next year. 2.5 trillion making any of that congress has not been able to identify. One point two trillion dollars in cuts that they're happy with. Because these same Republicans say they don't wanna cut defense. It's claimed that they don't want. Gut Medicare. Or harm the vulnerable but the truth of the matter is is that you can't. Meet their own criteria. Without drastically cutting Medicare. Or having an impact on Medicaid. Or affecting. Our defense spending to the math just doesn't add up. Now what Z here's what what -- what would work would be for us to say we've already done. Close to two trillion dollars. In deficit reduction and if you add the interest that we won't be paying because. Less spending and increased revenue. It adds up to about 2.5 trillion dollars. The consensus is we need about four trillion dollars to stabilize our debt verdicts. Which means we need about one point five trillion dollars more. The package that I offered to speaker Boehner before we. Before the new year would achieve it. We were actually fairly close in terms of arriving about number. So so if the goal is to make sure that we are being responsible about our -- our deficit. If that's the conversation we're having I'm happy to have that conversation. And by closing. Some additional loopholes through tax reform. Which speaker Boehner has acknowledged. Can raise money in a sensible way. And by doing some additional cuts including. Making sure that. We are reducing our health care spending which is the main driver of our deficits. We can arrival of hackers to get this thing done I'm happy to have that conversation. What I would not do is to. Have that negotiation. With a gun at the head of the American people. The threat that unless we get our way. Unless you've got Medicare or Medicaid. Or. You know otherwise slash things that the American people. Don't believe should be slashed. That we're gonna threaten. Directly entire economy that is not how historically this has been done that's not -- gonna do this time. What what what I'm. Chuck what I'm saying to you is that there is no. Simpler solution. No ready credible solution. Other than congress either give me the authority to raise that ceiling. For. Exercise the responsibility that they have kept for themselves and raised bets -- because this is about paying your bills. Everybody everybody here understands them and that this is not a complicated concept. You you you don't. Go up to better. And. Then they'll eat all you want. And then leave without pay in the -- and if you do. Your breaking the law. And congresses should. Think about the same -- the -- be able to you don't. If if congress wants have a debate about maybe we -- brought -- next on. -- we should go to a more modest restaurant. That's fine. That that that's a debate that we -- that -- you don't you don't say in order for me to control. My appetites. I'm -- not pay the people who already provided me services. People were -- me the money. Though that's not that's not showing any discipline. Well that's doing is. Not meeting your obligations you can't do that. And and then end and that's not a credible way to run this government we we've got to stop working. From crisis to crisis to crisis. When there's this clear path ahead of us. That simply requires some discipline some responsibility in some compliments. That's where we need to go up that's -- needs to work. Later. Thank you Mr. President. As you -- are finding votes the debt ceiling can sometimes become look at -- yourself -- senate voted against the debt ceiling increase. And that in previous. Aspects of American history President Reagan in 1985 president George Herbert Walker Bush in 1990 President Clinton in 1997 all signed a deficit reduction deals that were contingent upon or in the context of raising the debt ceiling. Yourself four times have done it three times those were related to deficit reduction a budget. Maneuvers. What chuck and I I think many people are curious about with this new adamant desire on your part not to negotiate when that seems to conflict with the entire history. The modern Arab American presidents in the debt ceiling and your own history in the debt ceiling. And doesn't that suggest. That we are gonna go into default situation because no one is talking to each other about how to resolve this. Well no measure -- I think if you look at the history. Getting votes for the debt -- is always difficult. And budgets in this town are always difficult. I want to there's just last year. But what's different is we never saw a situation as we saw last year. In which. Certain. Groups in congress. Took such an absolutist position. That we came within. A few days of default. And -- The fact of the matter is is that we have never seen. The debt ceiling used in this fashion where the notion was you know what we might default unless we get a 100% of what we want. That hasn't happened. As I indicated before. I'm happy to have a conversation about. How we reduce our deficits further any sensible way although one thing I wanna point out is that the American people are also concerned about how we grow our economy. How we put people back to work. How we make sure that we finance. Our workers getting properly trained and our schools are giving our kids the education we deserve there's a whole broke the gender which will reduce our deficits. That's important as well. What you've never seen. Is the notion. That has been presented so far at least by. The Republicans that deficit reduction. Will only counts spending cuts. That we will raise the deficit or the debt ceiling dollar for dollar. On spending cuts. They're -- set of rules that have been established. That. Are impossible. To meet without doing severe damage to the economy and so we're not gonna do is put ourselves in the position. Where in order to pay for spending that we've already -- There are two options are were either going to. Profoundly hurt the economy and hurt middle class families hurt seniors and hurt kids who were trying to go to college. Or alternatively. We're gonna blow up the economy we're not gonna do that. Don't know whatever congress have been they're gonna have to -- something that sensible. And we shouldn't be doing this that that we should and we shouldn't be doing this on a one to three month time for -- what we do that. The United States of America measure it but what we we can't manage our affairs and such a way that. We pay our bills and we provide some -- in terms of how we pair builds. Look. I don't think anybody would consider my position on reasonable. Day I have. -- The I am happy to have a conversation. About how we reduce our deficits. I'm not going to have a monthly or every three months. Conversation. About whether or not we pay our bills. Because that in of itself does severe damage even the threat of default. Hurts our economy it's hurting our economy as we speak. We should be having that debate if we wanna have a conversation about how to reduce our deficit what's happen. We've been having met for the last two years we go ahead just have an entire campaign. About it and by the way the American people agree with me that we should reduce our deficits and a balanced way that also takes into account the need for us to grow. This economy and put people back to work. And despite that conversation. And despite the election results. The position. That's been taken on the part of some house Republicans is that no we got to do it our way and if we don't. We simply won't pay America's bills well of that. That can't be. They can be of a position that is sustainable over time. It's not one that's good for the economy now it's certainly not going to be the kind of person that I wanna establish not just from my presidency but for future presence. Even if there was. On the other side. If Democrats don't like. Bode for the debt ceiling when Republicans. President and yet you. You might -- but you never saw. The situation in which Democrats suggest that somehow that we would go ahead and default if we can get a 100% of our way. That's just not how it's supposed to work. Jon -- Against president. On the issue God's given how difficult it will be some would say impossible to get any gun control measure passed through this congress. What are you willing or able to do using the powers of your presidency. To act without congress and I'd also like to know. What do you make of these long lines we're seeing it going shows his gun stores all around the country I mean even in Connecticut applications. For guns crops since the shooting in the town. Well. My understanding as a vice president's doing provide. A range of steps that we can take to reduce gun violence some of them were -- legislation some of them. I can accomplish through executive action and so all be reviewing those today and as -- -- well I'll speak. In more detail as to what we're gonna go -- propose. Later in the week. But I'm confident that there are some steps that we can take. That don't require legislation. And that there -- within my authority as president and where you get a step that. Has the opportunity to reduce the possibility gun violence. That I wanna Gordon take it. Well you might think for example how we. Are gathering data for example on. Guns would fall into the hands of criminals. And how we track that more effectively there may be some steps that we can take administratively. -- -- through legislation. It as far as people lining up and and purchasing more guns. You know I think that we've seen. For some time now. That. Those who oppose. Any common sense. Gun control or gun safety measures. Have. A pretty effective way of jamming up. Fear. On the part of gun owners that somehow. The federal government's. About. Take all your guns away. And about there's probably an economic element of that. It obviously is good for business. But I think that. Of those of us who. Look at this problem have repeatedly said that. Responsible gun owners. People who. Have a gun for protection for hunting for sportsmanship. They don't have anything to worry about the issue here is not. Whether or not. We believe in the Second Amendment of the issue is are there some sensible steps that we can take to make sure that. Somebody. Like. The individual new talent can't walk into a school. And gunned down a bunch children. In in shockingly. Rapid fashion. And surely we can do something about that. And have put your butt but part of the challenge that we're here we confront is that. Even. The slightest slightest hint of some sensible. Responsible. Legislation in the -- Fans this notion that somehow. Here it comes and that -- guns are going to be taken away. It's unfortunate but. That's the case and if you look at over the first four years my administration we've tried to tighten up and enforceable laws of worry on the books. But. It be pretty hard to argue. That somehow gun owners have had there rights infringed. Excuse me. Well. As I said -- I think it's a fear that -- By. Those who. Or. Are worried about. The possibility of any legislation to -- the. -- -- Because in the summer of 2011 you said that you wouldn't negotiate on the debt ceiling. And you did last year you said that you wouldn't extend any of the bush tax cuts for the wealthy. And you did so is -- saying now that you're not going to negotiate on the debt ceiling. This year why -- house Republicans take that seriously and think that if we get to one minute to midnight scenario I think you're not gonna back down. -- personal doing. Let's take the example of this year in the fiscal court. I didn't say that I would not have any conversations at all about. Extending the bush tax cuts what I said was we weren't gonna extend bush tax cuts for the wealthy. And we -- now you can argue. During the campaign I've said it. I set the criteria for. Well we have 250 and we ended up being at 400. But the fact of the matter is millionaires billionaires. Are paying significantly more in taxes just as I said so. For from. From the start. My concern was making sure that we had a tax code that was fair and the protecting the middle class and my biggest birdie was made sure the middle class taxes did not go up. The difference between this year and 2011. Is the fact we've already made one point. Two trillion dollars in cuts. And that. At the time I indicated that there were cuts that we could sensibly make that would not damage our economy. We're not impede growth I said at the time I think we should paired up with revenue in order to have an overall balanced package. But my own budget reflected cuts. In discretionary spending my own budget reflected the cuts that they needed to be made. And we made those cuts now the challenge going forward is. That. We know. Made some big cuts. And if we're gonna do further deficit reduction. The only way to do it is -- balanced and responsible way. The alternative. Is for us to go ahead and cut. Commitments that we've made on things like Medicare. Or Social Security. Or Medicaid. And for us to. Fundamentally change. Commitments that we made to make sure the seniors don't -- -- power. Or that children who are disabled for properly careful. Trust. -- changed that contract we've made with the American people. Rather than look at options like closing loopholes for. Corporations. That. They don't need. That. Points to a long term trend in which. Here we have. A fundamentally I think on her mind what people expect. Out of this government which is good parties sit down they negotiate a compromise but they also reflect. The world the American people that you don't have one barrel faction. Have been able -- able to simply dictate. A 100% of what they want all the time or otherwise threaten that we destroy the American economy. Another way of putting it is we got a break to have. Negotiating through crisis over and over again. And now we've now's as good of a time as -- at the start my second term because if we. Continue down this path. Then there's really no stopping the -- I mean literally even in divided government even where we've got a democratic president. And democratic senate that a small group in the House of Representatives. -- simply say. You know every two months every three months every six months every year. We are -- More -- more change the economy. In ways that we prefer despite strong objections of Americans all across the country or otherwise we're gonna have America not pay its bills. And that is no way for us to do business and by the way I would make the same argument if there was a Republican. President and a Republican senate. You have a handful of Democrats who were suggesting that we are -- Hijack the process and make sure that either we get our way a 100% of the time or. Otherwise. You know we are going to default. On America's obligations. -- who look what I've said is that I'm happy to have a conversation about deficit reduction. Now you do have a look at that this restrict or -- congress has bills or does. Now if -- and and they wanna keep this responsibility. If John Boehner Mitch McConnell think that they can. Come up. We is a plan that somehow. Meets their criteria that they've set for why they won't. When they won't raise the -- certainly. They're free to go ahead and try. But. The proposals that they've put forward. In order to accomplish that only by us cutting spending. Means cuts through things like Medicare. And education that the American people profoundly reject. They think that they can get. That through congress. Then. They're free to try. But I think that a better way of doing this is to. Go ahead and say we're gonna pay our bills. The question now is how we actually get our deficit in the medical sustainable way and that's a conversation. I'm happy to have. All right. Mats who told him. -- You've spoken extensively about the debt ceiling debate but some are Republicans have further said that they're willing to allow a government shut down to take place. Rather than put off deep spending cuts are you prepared to allow the government declined to halt. If you disagree with the spending cut proposals they put forth and who do you think other American people blame McCain to pass. Well. Ultimately congress makes the decisions about whether or not we spend money and whether or not we keep this government open. And if the Republicans in congress. Have made the decision that they wanna shut down the government normally get their way. Then. They have votes at least my house represented is probably to do it. I think that would be a mistake. And -- be profoundly damaging to our economy. I think would actually -- toward deficit because it will impede growth. A -- short sighted. But they're elected representatives and and folks. Put them in in the those positions and they're gonna have to make a decision about -- And I don't I suspect the American people blame all of Washington for not being able to get exactly that. But to the larger issue here has to do what what what is there were trying to accomplish. We try to reduce the deficit because we're trying to reduce the deficit. Bad. We can. Shape a bipartisan plan to reduce the -- Miss read it is that really our objective our concern is that were spending more than we take him and if that's the case then there's a way out. Balancing that out so that we take in more money. Increasing revenue. And we reduce spending. And and there's a recipe for getting that done. And in the conversation that was speaker mayor before the end of the year we came pretty close them and few hundred billion dollars separating us. When stretched out over ten year period that's a lot. But it seems is if what's motivating and propelling at this point some of the house Republicans is more than simply deficit reduction. They have a particular vision about what government should and should not do. So they are suspicious about government's commitments for example. To make sure that seniors have. Decent healthcare as they get older. They have suspicions about. Social secure. They have suspicions about. Whether government should make sure that. Kids in poverty. Are getting up to eat or. You know whether we should be spending money on medical research so they've they've got a particular view of what. Government should do and and should be. And you know that view was rejected. By the American people. When -- was debated during the presidential campaign. Think every poll that's out there indicates that the American people actually think our commitment. To Medicare. Sports education is really important. And that's something that we should look at as a last resort in terms of reducing the deficit and it makes a lot more sense for us to close for example corporate loopholes. Before we go to. Putting a bigger burden on students or seniors. But if the house Republicans disagree -- -- and they want to shut down the government to see if they can. Get their way out -- that's their that's their prerogative that's on the system setup. It will damage our economy. -- we got the government is a big part of this economy. And it's interesting that a lot of times you have people who recognize that when it comes to defense spending. Some of the same folks who say we go to cut spending -- complain that. -- government jobs don't do anything. When it comes to that defense contractor in their desperate. They think -- this is this -- important part of the economy in my district. We shouldn't stop spending on that. Let's just make sure we're not spending on. Those other folks. Obama it'll look my hope is that. Common sense prevails. That's always my. My preference and I think that would be the purpose the American people -- would be good for the economy. So so let me just. You -- repeat. If -- issue is. Deficit reduction. Getting our deficits sustainable. Over time getting our debt in a sustainable place. Then. Democrats a Republican congress will have a partner would -- We can achieve that and there we can achieve fairly quickly and we know what the numbers are we know what needs to be done. We know what a balanced approach we're taking we've already done probably more than half of the deficit reduction we need to stabilize the debt and the deficit. Described in more pain. And drama. In getting -- that we needed. And so finishing the -- shouldn't shouldn't be that difficult if everybody comes of the the conversation -- an open mind and if we recognize that there are some things like not paying our bills that that should be out of bounds. Our -- take one last question -- -- I'd like USQ now that you've reached the end of your first term starting your second. About a couple of criticisms won its longstanding another -- resent. The long standing was seems to have become a truism of sorts that your. You -- your step or two insular that you don't socialize and out. And the second the more recent criticism is that your team taking shape. Isn't diverse isn't as diverse as it could be or even wives. In terms of getting additional voices gender race ethnic diversity so I'd like you address both of those. Trip home. A lunatic the second 11. You know I'm very proud in the first four years. We had as diverse if not more diverse a White House and cabinet than any in history. And I intend to continue that. Because. It turns out that when you look for the very best people. Given me incredible adversity this country. You're gonna end up with a diverse staff and a -- adverse team and at that very diversity. Helps. Create. More effective policy making and better decision making. For me because it brings different perspectives of the tape. So if you think about my first four years. The person who -- have the most influence on my foreign policy. Was a walk. The people who were in charge of moving forward. My most important domestic commissioner of health care. Where what. The person in charge of our Homeland Security. Was well. My two appointments to the Supreme Court. Were -- and 50% among White House staff were women. So I think people should expect it. That record will be built upon. During the next four years now. What I've made four point and so far. And one woman admittedly a high profile one. Is leaving the administration has already left administration and I've. Have made a replacement but I would suggest that her body. Kind of wait until they've seen. Paul my appointments who's in the White House staff and who's. In my cabinet before they rush to judgment. But but I guess what I'm saying -- is is that I think. Until you've seen. What my overall team looks like. It's premature to I assume. That somehow we're going backwards are going backwards wrongful. -- respect to. That this truism about me not socializing and from -- folks on the back and all that stuff. The most people who know me. No -- -- them pretty friendly guy. And I like the good part. And you know the truth is bad. You know when I was in the senate. I had great relationships over there and up until the point that I became president. This was not an accusation that you heard very -- I think that I think that really what's. Gone on in terms of some of the paralysis here in Washington or difficulties in negotiations. Just have to do -- Some very stark differences in terms of policy. Some very sharp differences in terms of where we stand on issues and you know if you think about. What saved myself and speaker Boehner. Like speaker rare person. And when we went out and play golf we had a great time but that didn't get a deal done in 2011. You know what I what I'm over here at congressional picnic and folks are coming up and taking pictures with the family. I promise you Michelle -- -- nice to -- and we have a wonderful time. But it doesn't. Prevent every dorm -- before about some. You know blasting me for being here. Big spending socialist. Your view of and then there and the reason that. You know. In in many cases congress votes the way they do war. Talks the -- -- talker takes positions in negotiations with the -- -- it doesn't have to do with me it has to do with. The imperative that they feel in terms of their own politics. -- -- They're worried about their district they're worried about. What's going home back home I think there -- a lot of Republicans at this point that feel that. Given how much energy. Has been devoted and some of media that's preferred buyer Republican constituencies to. Demonize me. It doesn't look -- good socialize with. Charlie Crist. Down in Florida and testifies to that and I think a lot of folks say. Well. Right if we look like we're being too corporate server too chummy with the president that might cause us problems. That might be an excuse for us to get a challenge from. Somebody in -- primer. So -- of that tends to be. That the challenge that promises we invite folks from congress over here all the time and -- and one may choose to come. I enjoy their company sometimes they don't choose to come and that has to do with the fact that. I think they they don't consider the optics useful for them politically. And and ultimately the way we're gonna get stuff done personal relationships are important. And obviously I can always do a better job and the nice thing is that now -- my girls are getting older they don't wanna spend that much time would -- anyway. So I'll -- probably. Called around looking for some later. Play cards with -- or something. I -- them -- -- only in this big house so maybe he's just. May that may be a whole bunch of members were House Republican Caucus one. Come over socialized more. But my suspicion is getting issues -- -- we just talked about the big stuff. Whether or not we get. Sensible. Laws passed prevent gun violence whether. America's paying its bills whether or not. We get immigration reform -- All that's going to be determined largely by. Where the respective parties stand on policy and maybe most importantly. They had to the American people. At the American people. Feel strongly about these issues and they push hard and they reward. Or don't reward members of congress. -- their votes. If if if if they reject. Serve uncompromising positions war sharp partisanship are always looking up for the next election and they reward folks who. Or try to find common ground -- I think you'll see behavior in congress change. And that'll be true whether on the life of the party or a stick a month. -- -- -- -- -- President Obama finishing up his final news conference of his first term White House correspondent Peter -- listened in and Peter he put congress on notice to raise the debt ceiling and indicated he'll hear from Vice President Biden today about possible new gun violence measures. Well obviously Steve those of the two lead issues out of this final news conference of the president's first term. The president saying we are not a deadbeat nations serving notice that he doesn't really planned to negotiate with. Congressional Republicans on the debt ceiling. He wants to separate the debate about spending cuts from the debate about the debt ceiling they have another approach and they definitely want those spending reductions. Hanging over that the president said that's just not the right approach even talking about it could hurt the economy on guns the president talked about some familiar ideas he reiterated his interest in some sort of an assault weapons ban. He also talked about a tighter background checks. And other ideas that'll be coming up. He indicated that -- he will be taking executive action on that too and that's something Steve that has the gun -- Very concerned. Peter thank you this have been a CBS news special report -- Steve case and CBS news.