Is the main purpose of the Federal reserve Sstem to protect a depositor's money in case of a bank failure.

No, but that is a desired outcome from their primary purpose of providing a ';safer, more flexible'; banking system. (see FR mission statement referenced below)





Protecting a depositors money in case of bank failure would be the main purpose of the FDIC.Is the main purpose of the Federal reserve Sstem to protect a depositor's money in case of a bank failure.
They are there to regulate the flow of money through controlling interest rates. If inflation is high they will raise interest rates to keep up with it, if we are in a recession they will lower rates to jump start the economy.Is the main purpose of the Federal reserve Sstem to protect a depositor's money in case of a bank failure.
No, the main purpose is to provide liquidity to the banking system so that large amounts of money can move thru the banking system to finance the operations of a capitalist economy.
It Is set up as a ';lender of last resort'; for the banks.