Gaiety

gaiety

: a happy and lively quality

plural gai·eties
1
:  merrymaking; also :  festive activity —often used in plural
2
:  high spirits :  merriment
3
http://www.merriam-webster.com/dictionary/gaietyIn Beloved page 87 Paragraph 3

“She had felt warm satisfaction radiating from Beloved’s skin when she listened to her mother talk about the old days. But gaiety she had never seen.”
In this case I believe gaiety is the high spirits and merriment and lively quality of Beloved. This is a kind of happiness that Denver has never seen and this means a lot in a story talking about a time of slavery.

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