Mark Wahlberg can "understand" why Seth Macfarlane's Jewish joke fell flat at the Academy Awards, but insists the Ted skit shouldn't have been taken so "seriously".

The Fighter star re-teamed with his movie sidekick Ted, an animated teddy bear voiced by Oscars host MACFarlane, to present an award at the glitzy prizegiving on Sunday (24Feb13), but one particular gag in the routine drew anger from America's Anti-Defamation League.

Ted said to Wahlberg, "I was born Theodore Shapiro, and I would like to donate to Israel and continue to work in Hollywood forever," and the actor replied, "You're an idiot".

Adl bosses called the joke "offensive and not remotely funny," and Wahlberg has now spoken out about the criticism, insisting he can understand why the gag didn't go down well.

He tells E! Online, "It's one of those things that's a very sensitive subject for certain people, so I understand. I didn't expect (the criticism), but then looking back, I get it... Hopefully people don't take themselves too seriously. It was meant to entertain and that's it... I can't control what Ted says. He's got a potty mouth. He's got a mind of his own. If I tell him not to say something he's going to push the envelope even further."