Opposition Leader Bill Shorten says the budget is on a "road to nowhere" with larger deficits, more debt and slower growth.
Responding to Treasurer Scott Morrison's mid-year budget review, Mr Shorten said the government has called the economy wrong since it came to power in 2013.
"This government is taking us on a path of cuts now which is not what Australia needs at the moment ... they are proposing the harshest cuts to the people least able to protect themselves," Mr Shorten told reporters in Sydney.
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