Question

Which action does the executive branch take as part of the government spending process?

A. The Office of Management and Budget sends budget guidelines to federal agencies.
B. The president writes spending bills for Congress to approve.
C. The executive branch creates a budget resolution for Congress to approve.
D. An executive conference committee reconciles the House and Senate budgets.

Answer 1

The first answer is correct (A).

All government spending is part of the scope of fiscal policy. That is, agencies are part of the government scope, so when agencies use their resources, they are executing government fiscal policy. In this context, The Office of Management and Budget sends the budget guidelines to the federal agencies in a synchronized way to the fiscal possibilities. In other words, the government decides how much each government agency can spend on their respective demands.