The difference between the two is best brought in what seems a necessary and sufficient definition of the dependencyManagement element available in Maven website docs:
dependencyManagement
"Default dependency information for projects that inherit from this one. The dependencies in this section are not immediately resolved. Instead, when a POM derived from this one declares a dependency described by a matching groupId and artifactId, the version and other values from this section are used for that dependency if they were not already specified."
[ https://maven.apache.org/ref/3.6.1/maven-model/maven.html ]
It should be read along with some more information available on a different page:
“..the minimal set of information for matching a dependency reference against a dependencyManagement section is actually {groupId, artifactId, type, classifier}. In many cases, these dependencies will refer to jar artifacts with no classifier. This allows us to shorthand the identity set to {groupId, artifactId}, since the default for the type field is jar, and the default classifier is null.” [https://maven.apache.org/guides/introduction/introduction-to-dependency-mechanism.html ]
Thus, all the sub-elements (scope, exclusions etc.,) of a dependency element--other than groupId, artifactId, type, classifier, not just version--are available for lockdown/default at the point (and thus inherited from there onward) you specify the dependency within a dependencyElement. If you’d specified a dependency with the type and classifier sub-elements (see the first-cited webpage to check all sub-elements) as not jar and not null respectively, you’d need {groupId, artifactId, classifier, type} to reference (resolve) that dependency at any point in an inheritance originating from the dependencyManagement element. Else, {groupId, artifactId} would suffice if you do not intend to override the defaults for classifier and type (jar and null respectively). So default is a good keyword in that definition; any sub-element(s) (other than groupId, artifactId, classifier and type, of course) explicitly assigned value(s) at the point you reference a dependency override the defaults in the dependencyManagement element.
So, any dependency element outside of dependencyManagement, whether as a reference to some dependencyManagement element or as a standalone is immediately resolved (i.e. installed to the local repository and available for classpaths).