Obama tries to gain control of healthcare debate

WASHINGTON (Reuters) - President Barack Obama tried to regain control of the U.S. healthcare debate on Wednesday and avoid letting his ambitious plan stall under the weight of discord in Congress.

Obama was holding an evening prime-time news conference at a time when his long-running post-inaugural honeymoon appears to be ending.

Several polls show his job approval rating dropping and that Americans are having doubts about his prescriptions for the economy and healthcare.

They are concerned that his $787 billion economic stimulus plan has not helped the economy and are having sticker shock at the $1 trillion cost of the healthcare plan.

Obama's objective at the event in the White House East Room was to reassure Americans that his plan would improve the present system, is affordable and would not drive up the U.S. budget deficit.

In excerpts of his opening remarks released by the White House, Obama said the overall health of the economy is dependent on stemming the rising costs of healthcare, which accounts for 17.6 percent of gross domestic product.

"That is why I've said that even as we rescue this economy from a full-blown crisis, we must rebuild it stronger than before. And health insurance reform is central to that effort," he said.

In a separate interview with the Washington Post, Obama addressed questions about the U.S. budget deficit, which is projected to reach a record $1.84 trillion this year.

He said it might be necessary to appoint a commission to examine ways to attack the shortfall.

Obama has voiced skepticism in the past at appointing commissions to study big problems. But such a body could provide him cover for making some unpopular decisions such as raising taxes and cutting spending.

"Probably what you end up having to do in terms of structural reforms realistically is you probably have to set up some sort of commission or mechanism that reports back with the prospect of maybe locking in a pledge for action," he told the Post, adding that "everything is going to have to be on the table."

Obama, whose main debate over healthcare is with fellow Democrats who control Congress, is facing the possibility that the House of Representatives and the Senate will not pass healthcare plans by the time lawmakers go on vacation in early August.

That means the debate is likely to spill into the autumn, raising the possibility of a loss of momentum.

Obama went on the attack against Republicans, accusing them of wanting to kill his healthcare plans.

(Editing by Simon Denyer and Chris Wilson)