international liquidity

international liquidity

see INTERNATIONAL RESERVES.

international liquidity

or

international money

monetary assets that are generally acceptable as a means of financing INTERNATIONAL TRADE and/or as an INTERNATIONAL RESERVE asset with which to finance BALANCE OF PAYMENTS deficits. For example, the US DOLLAR is used as the NUMERAIRE of the oil trade and also serves as an important reserve asset; the SPECIAL DRAWING RIGHT is used only as a reserve asset.
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