Tibor Machan gives them too much credit. Mises’ economic calculation argument, reiterated in the article, explains why socialism can’t work, but I don’t think it says what Machan wants it to about budgets. After all, a car thief can balance his household finances, despite making his living through coercion. A government could, in principle, spend only money actually collected (stolen) last year when enacting this year’s budget.
The real reason that government officials do not balance budgets is that they have no motivation to do so. The politician’s personal share of any government debt/future taxes is tiny relative to the political benefit he gains when spending tax money, otherwise he wouldn’t do it. That is the nature of the incentive structure of coercive government: the benefits are shared by few, while the pain is spread among many.