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Definition of "liquidity" []

  • The state of being liquid. (noun)
  • The quality of being readily convertible into cash: an investment with high liquidity. (noun)
  • Available cash or the capacity to obtain it on demand: a bank that is increasing its liquidity by shortening the average term of its loans. (noun)
  • The possession of sufficient liquid assets to discharge current liabilities (noun)

American Heritage(R) Dictionary of the English Language, Fifth Edition. Copyright (c) 2011 by Houghton Mifflin Harcourt Publishing Company. Published by Houghton Mifflin Harcourt Publishing Company. All rights reserved.

  • The state or quality of being liquid (noun)

www.Collinsdictionary.com (c) HarperCollins Publishers Ltd 2016

Use "liquidity" in a sentence
  • "But what if the Fed has to sell assets to drain liquidity from the economy faster than it might prefer, and thus take losses on its portfolio?"
  • "We expect this increase in liquidity is going to be here to stay for some time as the advanced countries, and in particular the United States, struggles to reignite growth and to stabilize their economies."
  • "First, the term liquidity when referred to by the Fed, simply means that there is ample money flowing around to create the consumption based economy that we live and breathe."