From Longman Business Dictionaryliquidity preferenceliˈquidity ˌpreference [uncountable]ECONOMICS the degree to which people and organizations like to hold their assets and investments in different forms, some of which can be bought and sold more easily than others. This influences the demand for money and a country’s control of the amount of money in the economyThe phenomenon of liquidity preference can find no place in a model that contains only one asset, cash. → preference
