There are at least three different understandings of the key components of a financial safety net. First of all, it includes two parts that are the deposit insurance and a lender of last resort. Secondly, except the two elements mentioned above, the prudential regulation and supervisory framework should be considered. In addition, a wider interpretation contains the failure resolution mechanisms for financial institutions. From the point of Mandanis Schooner & Michael W. Taylor, the government bailout is part of the financial safety net as well. When a bank confront a prospective failure, in case the method that mentioned above can address the problem is not work effectively, the government has the responsibility to provide capital to the bank. Due to the nature of government bailout, it is actually a kind of failure resolution mechanism. Therefore, the elements of a financial safety net have four different parts. The aim of the financial safety net is to protect the financial market and make sure that it maintains the sound development. A stable and well managed financial safety net will benefit to the whole financial system. At the same time, the financial well being demands that the variety elements cooperate with each other effectively.