contractionary Syllabification: (con·trac·tion·ar·y)Pronunciation: /kənˈtrakSHəˌnerē/Definition of contractionary adjective causing or relating to the contraction of a country’s economy:he imposed a contractionary fiscal policy in the form of a tax surcharge the contractionary effects of higher interest ratescontractionary in other Oxford dictionaries Definition of contractionary in the British & World English dictionary