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Matching
-satiety
Money Market
The money market is a segment of the financial market in which financial instruments with high liquidity and very short maturities are traded, intended for short-term borrowing and lending.
Transaction Motive
The need to hold cash to satisfy normal disbursement and collection activities associated with a firm’s ongoing operations.
Liquidity
Measures the ease with which an asset can be converted into cash without significantly affecting its price.
Speculative Motive
The need to hold cash to take advantage of additional investment opportunities, such as bargain purchases.
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