The major functions of the Fed are to

(a) issue Federal Reserve Notes,

(b) set reserve requirements and hold reserves deposited by banks and thrifts,

(c) lend money to financial institutions and serve as the lender of last resort in national financial emergencies,

(d) provide for the rapid collection of checks,

(e) act as the fiscal agent for the Federal government,

(f) supervise the operations of the banks, and (g) regulate the supply of money in the best interests of the economy.