A Budget should match the priorities of the nation, according to Labor leader Bill Shorten.
In his Budget reply speech, Mr Shorten said the Abbott Government's second Budget lacked vision and was "silent on the big picture".
Mr Shorten criticised the Government for what he said was its failure to back innovation, arguing that the right policy settings could make Australia the science, start-up and technology capital of the region.
"...attracting the best minds, supporting great institutions and encouraging home our great expats," he said.
"We should aspire, together: universities, industry, the people and the Parliament to devote 3 per cent of our GDP to research and development by the end of the next decade," said mr Shorten.
He announced that a Labor Government would establish a range of policies to back innovation, including a $500 million Smart Investment Fund.
Labor said that the Smart Investment Fund would partner with venture capitalists and licensed fund managers to co-invest in early stage and high potential companies, providing a Commonwealth investment of up to 50 per cent of the start-up capital needed to help Australian companies commercialise innovations.
"The Smart Investment Fund will open two rounds over the next five years, with the intention of making it a rolling program, to develop an ecosystem for ongoing innovation and jobs," Labor said.
According to Mr Shorten, "Together, let us harness the power of science, technology, engineering and mathematics to prepare for the future.
"A future of knowledge and service industries and advanced manufacturing, a nation of ideas and a country that makes things here.
"Our future prosperity depends on harnessing Australian ideas and defining a new global market for world-leading products," he said.