... lo n g -t e r m in ve s t m e n t s b y ¯ r m s a n d g o ve r n m e n t s . S in c e liqu id it y h a s b e e n s h o wn t o4See, for example, Amman and Zimmerman (2001) and Fox (1999) for practical ... o r r e la t io n15See, for example, Greenspan, 1999, and \Finance and Economics: Alan Greenspan's miracle cure,"Economist, October 24, 1998, pp.7 5-7 6. and \A Review of Financial ... o r s ' a lo n e .A b s t r a c tAn E mpir ical Analysis of Stock and B ond M ar ket LiquidityW e s t u d y t h e jo in t t im e -s e r ie s o f d a ily liqu id it y in b o n d a n d s...