The primary purpose of both the FDIC and the Savings Association Insurance Fund (SAIF)is to

Question

Quizplus · Accepted Answer

The primary purpose of both the FDIC and the SAIF is to increase depositor confidence in the banking system by insuring deposits in case a bank fails. This aims to prevent runs on banks and maintain stability in the financial system. Option B is incorrect because controlling the nation's money supply is the responsibility of the Federal Reserve. Option C is incorrect because the Federal Reserve sets reserve requirements for the banking system. Option D is incorrect because providing funds for home mortgages is the focus of institutions such as Fannie Mae and Freddie Mac.

The Primary Purpose of Both the FDIC and the Savings