Final answer:
Management controls the budget level and timing of federal government expenditures, guided by the fiscal policy direction set by the President and overseen by Congress. Flexibility is essential for expenditures influenced by macroeconomic conditions, like food stamps.
Step-by-step explanation:
Management exercises control over the budget level and timing of federal government expenditures. The President, along with the Office of Management and Budget and Congressional support, plays a crucial role in determining the direction of fiscal policy.
By creating a federal budget, the President proposes how revenue (taxes) should be collected and how expenditures (spending) should be distributed. This budget then goes to Congress, which has the power to approve, modify, or reject the President's fiscal plans. This process is governed by various laws and is subject to the availability of appropriations.
Furthermore, it should be noted that some programs, like food stamps, have flexible spending determined by macroeconomic conditions. Such programs would potentially lose flexibility if increased spending required immediate tax hikes or spending reductions.
The management of budget concerning these expenditures must, therefore, carefully balance control with adaptability to ensure responsiveness to changing economic scenarios.