Contactionary fiscal policy assists in inflation and control recession but what does expansionary assist?

Question

Contactionary fiscal policy assists in inflation and control recession but what does expansionary assist?

Answer 1

You've got it half wrong. Fiscal policy works much like monetary policy, only more slowly:

Contractionary fiscal policy restrains inflation, but encourages recession.

Expansionary fiscal policy encourages growth by stimulating demand.

http://en.wikipedia.org/wiki/Fiscal_poli...