liquidity meaning and definition

LIQUIDITY noun

Definition of liquidity (noun)

1. the state in which a substance exhibits a characteristic readiness to flow with little or no tendency to disperse and relatively high incompressibility
   • synonyms: liquid, liquid state, liquidness
2. the property of flowing easily
   • "adding lead makes the alloy easier to cast because the melting point is reduced and the fluidity is increased"; "they believe that fluidity increases as the water gets warmer"
   • synonyms: fluidity, fluidness, liquidness, runniness
3. being in cash or easily convertible to cash; debt paying ability