Both policies make use of the multiplier-effect to reduce unemployment.

An expansion in the monetary policy means that the gouvernment will reduce the intrestrates. When intrestrates decrease, more investmentprojects become interesting for companies (it is cheaper to borrow money, so more projects become possible). All these investments by private companies create work (buildings have to be build, new machines have to be operated, etc.) and thereby reduce unemployment. Furthermore, the people who used to be unemployed, but now have jobs, have a bigger income then before. So they start spending more money, which means the companies have more income and can invest more, starting the whole cycle again.

An expansion in the fiscal policy means that the government reduces the taxrates. The effect is the same as with a reduction in the intrestrate. The income of families and the profits of companies increases, which results in an increase in spendings. This increase in spendings implies an increase in demand. So the companies have to produce more goods. To produce these goods they have to hire people, thus the unemployment drops.

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