A compression and expansion system comprises a control circuit including a variable impedance element, whose impedance is varied in accordance with a control signal applied thereto. The system has a frequency-response characteristic which varies in accordance with variation of the impedance of the variable impedance element. A control signal is formed in accordance with the level of an input signal and is applied to the variable impedance element of the control circuit thereby to vary the impedance thereof. A switching means forms passing paths in a manner such that, at the time of compressing, the input signal is supplied by way of the control circuit to a negative feedback amplifier. At the time of expanding, the input signal is supplied to the negative feedback amplifier, and, at the same time, the output of the negative feedback amplifier is fed back by way of the control circuit to the input of said negative feedback amplifier. The control circuit comprises a variable high-frequency range increasing circuit which operates when the input signal level is relatively low. The control circuit increases the high-frequency component in accordance with the variation of the impedance of the variable impedance element. A variable high-frequency range decreasing circuit operates, when the input signal level is relatively high, to decrease the high-frequency component in accordance with the variation of the impedance of the variable impedance element.