i. When a wire is fixed at one end and a force is applied at its free end so that the wire gets stretched, length of the wire increases and at the same time, its diameter decreases, i.e., the wire becomes longer and thinner as shown in figure.

[Note: Linear expansion ∆l is exaggerated far explanation.]
ii. If equal and opposite forces are applied to an object along its length inwards, the object gets compressed. There is a decrease in dimensions along its length and at the same time there is an increase in its dimensions perpendicular to its length. When length of the wire decreases, its diameter increases.

[Note: Compression of wire ∆l is exaggerated for explanation.]