Most Australians don't understand the need for budget deficits, a federal Labor backbencher says.
Economists are expecting the Rudd government to produce a budget deficit of between $45 and $70 billion when Treasurer Wayne Swan delivers spending plans for the next year on Tuesday night.
Arch Bevis says most people are unaware that budget deficits were usual during the post-World War II period.
"I'm somewhat bemused by some of the commentary that goes on about budget deficits," he told reporters in Canberra.
"If you have a look at some of the figures going back some years, most people don't comprehend that during that post-war growth, after World War II, the Commonwealth never had a budget surplus.
"Through all of those golden years of Bob Menzies, that John Howard lovers used to like to talk about, they ran a budget deficit every single year."
Not once was there a surplus until the Hawke-Keating governments.
Opposition frontbencher Peter Dutton hit back at assertions by Prime Minister Kevin Rudd and Mr Swan that this would be a Labor budget.
"This is going to be a big-taxing, big spending, putting huge debt on a future generation budget," he told reporters.
"That's why it's going to be a Labor budget."
Labor backbencher Dick Adams expects the government to take a political hit with this budget, amid reports private health rebates and superannuation concessions will be cut.
"The indications are there will be some pain," he said, adding a responsible budget will not satisfy everybody.
That's a part of governing I guess."
Mr Adams said that while he wasn't concerned about the budget deficit, the books needed to be brought back into surplus eventually.
"We have to be responsible and certainly bring it back."
Opposition frontbencher Tony Smith declined to say if the coalition would block budget measures in the Senate.
"We're one sleep away from the budget so we'll see that tomorrow," he told reporters in Canberra.
Mr Swan last week said commonwealth revenue had fallen by $200 billion since the last budget was delivered, but Mr Smith said the government talked down business confidence before the global financial crisis hit.
"Sure the global financial crisis has dealt all countries a difficult set of cards.
"But poor policy making, poor administration and poor decisions by the Rudd government have made that difficult situation much worse."
Labor senator Mark Arbib said the government would have to make tough budget decisions to pay for an increase in the single pension rate.
"We are delivering on our commitment in terms of reforming pensions," Senator Arbib told Sky News.
"In terms of what it means, it means yes there are tough decisions coming forward in terms of the budget to pay for that."
Liberal senator Mitch Fifield said the budget was likely to be funded by borrowing and cutting Howard government programs.
"The government taking an axe to a few programs, which they've always hated such as the private health insurance rebate, does not a fiscal strategy make," Senator Fifield said told Sky News.
"The government's got to be honest. There are a few things they've always despised such as the Medicare safety net, the private health insurance rebate, our reforms to superannuation."
"They pretended at the last election they were in favour of them. They weren't. They're using the current situation as a cover."