Cambridge Dictionaries online Cambridge Dictionaries online

The most popular online dictionary and thesaurus for learners of English

  

English definition of “liquidity preference”

liquidity preference

noun [U]    
ECONOMICS the fact that people , for example people who are making investments , prefer to have cash , or assets that can be quickly exchanged for cash : Keynes developed the theory of liquidity preference as a means of explaining the functioning of the financial system .
(Definition of liquidity preference noun from the Cambridge Business English Dictionary © Cambridge University Press)
Focus on the pronunciation of liquidity preference

Word of the Day

familiarity

a good knowledge of something, or the fact that you know it so well

Word of the Day

Blog

Read our blog about how the English language behaves.

Learn More

New Words

Find words and meanings that have just started to be used in English, and let us know what you think of them.

Learn More