Liquidity
Definition, Meaning & Examples
Pronunciation /lɪkˈwɪdəti/ · Part of speech noun
Quick meaning: Liquidity is a noun meaning (uncountable) The state or property of being liquid.
Meaning
(uncountable) The state or property of being liquid.
More Meanings
- (finance) The degree of which something is in high supply and demand, making it easily convertible to cash.
- (finance) Availability of cash over short term: ability to service short-term debt.
- (economics, countable) An asset's property of being able to be sold without affecting its value; the degree to which it can be easily converted into cash.
Example Sentences
Some stocks are traded so rarely that they lack liquidity.
This is often phrased in terms of whether they are facing liquidity or solvency problems; but I think it’s better phrased in terms of the possibility of self-fulfilling crises, a la Obstfeld.
Word Forms
- liquidities
Synonyms for liquidity
Depending on context, synonyms include fluidity, liquid, liquidness, fluidness, runniness.
Antonyms for liquidity
Common opposites include illiquidity, nonliquidity.
Related Words
Related dictionary entries include fluidity, fluidness, runniness, refinancing, solvency, liquidation.
Related Dictionary Tools
Sources & Attribution
FreeDictionaryAPI.com / Wiktionary · Original source · CC BY-SA 4.0
Dictionary data is provided by FreeDictionaryAPI.com and sourced from Wiktionary under its stated license.