The remarks came during a parliamentary discussion about the government's economic credentials earlier on Thursday, when Abbott likened criticism coming from Labor to "the arsonist complaining about the fire."
He went even further by calling opposition leader Bill Shorten none other than "the Dr. Goebbels of economic policy," in a clear nod to Joseph Goebbels, Minister of Reich Propaganda in Nazi Germany from 1933 to 1945.
Abbott was quick to withdraw the remarks, which were immediately blasted by the opposition, including shadow attorney-general Mark Dreyfus and MP Michael Danby, both Jewish.
Danby, for his part, said that "it's silly to use an example of the ultimate evil in politics."
"He is the prime minister, he's supposed to have standards," he added, referring to Abbott.
Last month, the Australian Prime Minister had to apologize after he accused Labor of creating "a holocaust of jobs in defense industries.”
