liquidity (Meaning)

Wordnet

liquidity (n)

the state in which a substance exhibits a characteristic readiness to flow with little or no tendency to disperse and relatively high incompressibility

the property of flowing easily

being in cash or easily convertible to cash; debt paying ability

Webster

liquidity (n.)

The state or quality of being liquid.

liquidity Sentence Examples

  1. The company's high liquidity allows it to swiftly access cash for operations.
  2. Holding a portion of assets in cash or cash equivalents ensures liquidity during unexpected events.
  3. The stock market provides liquidity for investors to buy and sell shares easily.
  4. Liquidity is crucial for businesses to meet their financial obligations promptly.
  5. The central bank's quantitative easing measures aimed to increase liquidity in the financial system.
  6. A liquid asset can be readily converted into cash or equivalent with minimal loss in value.
  7. Banks play a vital role in providing liquidity to businesses and individuals.
  8. High liquidity can reduce risk for investors as it allows them to exit investments easily.
  9. The liquidity crisis in the banking sector caused a widespread shortage of cash.
  10. The liquidity preference theory suggests investors prefer holding liquid assets during uncertain economic times.

FAQs About the word liquidity

the state in which a substance exhibits a characteristic readiness to flow with little or no tendency to disperse and relatively high incompressibility, the pro

flowing, thin, fluid,fluent, diluted, semiliquid, circumfluous, semisolid, circumfluent, watery

solid, thick, hard, hard, nonliquid, nonliquid, solid, thick, gelatinous, gelatinous

The company's high liquidity allows it to swiftly access cash for operations.

Holding a portion of assets in cash or cash equivalents ensures liquidity during unexpected events.

The stock market provides liquidity for investors to buy and sell shares easily.

Liquidity is crucial for businesses to meet their financial obligations promptly.