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The budget downgraded growth, wage growth and investment.
Downgraded growth forecasts were not just bad news in the short term, he said.
In the months leading to the vote, nationwide strikes paralyzed the country's highways, international banks downgraded growth estimates for Argentina, and the president's support plummeted to 20percentt.
Mr Balls added: "These downgraded growth forecasts are yet another damaging blow to a downgraded Chancellor whose economic policies have totally failed".
He brandished the downgraded growth forecasts for this year and next as supposed proof of the folly of fast and deep cuts to public spending.
The new Office for Budget Responsibility last week downgraded growth expectations, but reported also that public sector borrowing was likely to be lower than Alistair Darling, Mr Osborne's predecessor, had assumed.
Similar(43)
The Fed downgrades growth and sees continuing high unemployment.
By downgrading growth forecasts, the OBR has made the structural deficit look bigger.
It has also become gloomier about Europe's prospects, downgrading growth in the euro area in 2001 from 2.2% to 1.9%.
Wednesday Alistair Darling, in his first Budget, downgrades growth forecasts, raises taxes and admits the UK economy faces its biggest slowdown since Labour came to power.
On Wednesday, chancellor George Osborne tried his best in his autumn statement to put a positive gloss on the economic outlook – despite downgrading growth forecasts again, admitting that he would break his "golden rule" on borrowing and announcing that austerity measures would be extended another year to 2018.
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