Liquidity is a concept in economics involving the convertibility of assets and obligations. It can include: *

Market liquidity In business, economics or investment, market liquidity is a market's feature whereby an individual or firm can quickly purchase or sell an asset without causing a drastic change in the asset's price. Liquidity involves the trade-off between the ...

, the ease with which an asset can be sold * Accounting liquidity, the ability to meet cash obligations when due * Funding liquidity, the availability of credit to finance the purchase of financial asset * Liquid capital, the amount of money that a firm holds * Liquidity risk, the risk that an asset will have impaired market liquidity

See also