The Federal Trade Commission (FTC) has caught onto the fact that there's a serious lack of competition among America's baby formula suppliers—but the agency seems to be looking in the wrong direction.
The Wall Street Journal reported Wednesday that the FTC launched a probe into possible anti-competitive practices within the lucrative state contracts awarded to formula manufacturers through the Women, Infants, and Children (WIC) program. The WIC program is funded with about $6 billion in federal grants, but states are responsible for managing the program. Each state picks a sole-source provider of baby formula to serve the state's entire WIC population.
