In English, "liquidity" (リクイディティ/流動性) is widely used in finance, economics, and even everyday business contexts.
1. Basic Meaning
- High liquidity: Cash, major stocks (like Apple or Toyota). Easy to sell quickly.
- Low liquidity: Real estate, fine art, rare collectibles. Hard to sell quickly for cash.
2. Common Financial Expressions & Phrases
① Market Liquidity (市場の流動性)
- Example: "Central banks injected liquidity into the financial system to prevent a credit crunch."
- Example: "During the crisis, market liquidity dried up completely." (Market liquidity disappeared)
② Corporate / Business Liquidity (企業の資金繰り・流動性)
- Example: "The company is facing a liquidity crisis due to poor sales."
- Example: "We need to maintain a healthy liquidity buffer for emergencies."
③ Inject / Provide Liquidity (流動性を供給する)
- Example: "The Federal Reserve provided massive liquidity to stabilize the banking sector."
④ Dry Up / Evaporate (流動性が枯渇する)
- Example: "When panic hit the market, liquidity dried up overnight."
3. Everyday / Alternative Uses
- "Asset liquidity": How fast an individual can turn their personal possessions into cash.
- "Job market liquidity": How easy it is for people to find new jobs or for companies to hire workers (though labor market flexibility is more common here).