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> Isn't the point of limiting the power of government to actually help the general population to survive and prosper though?

It might be a lovely side benefit, but no, I don't think it is the point or outright goal in austrian economics and libertarianism. The freedom itself is the goal, which does carry the potential to succeed and prosper but also the potential of complete and utter failure and misery with it. You are allowed to be a failure completely if you so choose here. I might be wrong on the philosophy here though as I have only really skimmed the surface of mises, hayek, rothbard, etc, but that is my understanding.