liquidity preference
noun[U]
ukusECONOMICS
thefactthatpeople, forexamplepeoplewho are makinginvestments,preferto havecash, orassetsthat can bequicklyexchangedforcash:
Keynesdevelopedthetheoryofliquiditypreferenceas ameansofexplainingthefunctioningof thefinancialsystem.