liquidity trap 

(ECONOMICS) situation in which demand confidence in banks or borrowers is so low that monetary policy (i.e., lowering interest rates) has no positive impact on the economy. A characteristic of an economic depression.

When the economy contracts, or is in a recession, it is occasionally sufficient for the authorities to lower the discount rate or the federal funds rate. This lowers the cost of borrowing money, so more people do so, more stuff is bought, and the economy recovers. But in a depression, people will hoard cash (if they have any); if the interest rate is lowered, they still won't borrow, and the banks won't lend (because they want to restore their balance sheets).

When this happens, only fiscal policy has any chance of restoring economic growth.

In the fall of 2008, the failure of so many major banks caused a global liquidity trap. For two quarters, the world economy suffered a very severe contraction, and millions of people lost their jobs.

liquidity trap by Abu Yahya April 18, 2010

Liquidating Assets 

The body's natural response to unwanted material inside of it by ejecting it out of one's ass in a less than formal manner.

To eat a food that causes painful diarrhea or soup ass.

I'm sorry I never made it to your party, after I went to taco bell my assets were liquidating all night.

Someone at school put ex-lax in Chad's drink, leaving him with liquidating assets during biology, forcing an evacuation of the class because of his runny asshole.

Liquidating Assets by Chief Fat Cock April 12, 2011

liquidity crisis 

(ECONOMICS) An emergency in which a financial or government institution cannot meet its current obligations in an acceptable form of payment. Different from insolvency, which is where that same institution cannot be realistically expected to EVER meet its obligations.

A good example of the difference is a run on a bank, especially in the days before deposit insurance. A perfectly honest, well-run bank could have all of its books in order, and be paying its depositors in legal tender, when suddenly a panic strikes and everyone wants their deposits all at once. This is necessarily impossible, and forces the bank's officers to default on their debts.

Often, the bank could resume operation later when it was established that it held performing assets greater than deposits. More recently, liquidity crises have been a problem suffered by countries facing capital flight

In 1997, several countries in East Asia were stricken with a liquidity crisis. In many cases, such as Malaysia, the panicked response had nothing whatever to do with fundamentals; it was sheer herd mentality.

liquidity crisis by Abu Yahya May 5, 2010

dream liquidator 

One who destroys the hopes and aspirations of another.

I'm going to run a 5 minute mile even though you say I am too slow and out of shape. Stop being such a dream liquidator!

dream liquidator by alo3000 October 15, 2013

liquidity preference 

*noun*; the tendency for the public to want to hold income in cash relative to its willingness to hold it as interest-bearing savings (bonds).

The liquidity preference is analogous to a supply curve for lendable funds. If the price for lendable funds--that is to say, the interest rate--is high, then the amount be be large. If the interest rate is low, then the public will be more inclined to hoard income as cash.

Income held as cash is not spent on goods and services, so if the amount increases abruptly then there will be a recession. If it is held in some interest-bearing form, then it can be spent on fixed capital, thereby increasing output and employment.

During a recession, if the liquidity preference is high, a lot of money is going to be held as cash. One could free up some cash for job-creating investment by raising interest rates, but that would eradicate a lot of business opportunities. So monetary authorities monetize debt instead, creating a new supply of credit to replace the savings lost by falling interest rates.

...An individual’s liquidity preference is given by a schedule of the amounts of his resources, valued in terms of money or of wage-units, which he will wish to retain in the form of money....

John M. Keynes, *General Theory of Employment, Interest, and Money* (1936), Ch.13

liquidity preference by Abu Yahya March 3, 2009

Liquidation Center 

A place where you can purchase dented canned goods during the recession for a reasonably cheap price.

Jerry: "I got to check out Caswell's Liquidation Center."
Carry: "Why? All their products are expired."
Jerry: "Who cares. Their shit is cheap."

Liquidation Center by shwingggah December 3, 2009

lumber liquidator 

noun • a manner of reference to a characteristically vitriolic bitch who is either possessive of the predisposition to, or who has previously undertaken the action of removing the male phallic organ, usually subsequent to becoming enraged and overcome by her own flippant and ungainly emotions, to the point of performing such a heinous and vengeful act. Furthermore, such dismemberment is usually accomplished via the utilization of a sharp object, or potentially one that is comparatively duller if the perpetrator desires for a more lengthy and torturous removal and later thrown into adjacent vegetation and/or woods in order to secure difficulty in locating the separated life-giving essence of the human race.

Also see peter eskeeter

Anthony: Awww shucks, that lumber liquidator Maggie done got me, looks like imma be stuck without my ween. Guess I’ll get back to sitting on my ass. Ueh ueh ueh

lumber liquidator by jellypuddinginmyanus42069 January 11, 2020