👉 Illiquidity, in finance and economics, refers to a high degree of liquidity or ease of tradeability of securities or assets, which can result from factors such as low interest rates, low volatility, and large number of buyers and sellers. This makes it easier for investors and traders to buy and sell securities at any time without the need for lengthy waiting periods. However, this also means that prices tend to move quickly and unpredictably, making trading difficult or even impossible in some cases.