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Navigating the challenges of building a more resilient infant formula industry

Author

Listed:
  • Jackie Yenerall
  • Andrew Muhammad
  • Karen DeLong
  • Trey Malone

Abstract

In 2022, U.S. consumers experienced an infant formula shortage that resulted in historic out‐of‐stock rates and brought renewed attention to market concentration in the infant formula market. FDA regulation, tariffs, and limiting WIC benefit redemption to a state's contract brand of infant formula, all potential barriers to competition, were temporarily relaxed to mitigate the impact of the shortage. This article discusses the potential trade‐offs associated with permanent policy changes while highlighting opportunities for future research to support the development of policies to improve resiliency in the infant formula market.

Suggested Citation

  • Jackie Yenerall & Andrew Muhammad & Karen DeLong & Trey Malone, 2024. "Navigating the challenges of building a more resilient infant formula industry," Applied Economic Perspectives and Policy, John Wiley & Sons, vol. 46(2), pages 499-513, June.
    • Handle: RePEc:wly:apecpp:v:46:y:2024:i:2:p:499-513
    DOI: 10.1002/aepp.13416
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    References listed on IDEAS

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    2. Oliveira, Victor & Prell, Mark A. & Smallwood, David M. & Frazao, Elizabeth, 2004. "Wic And The Retail Price Of Infant Formula," Food Assistance and Nutrition Research Reports 33873, United States Department of Agriculture, Economic Research Service.
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