The Federal Trade Commission (FTC) recently issued its financial performance report for fiscal year (FY) 2024.
The Office of Management and Budget requires a financial performance report on an annual basis. The FY 2024 report highlights the FTC’s accomplishments and includes a review of the agency’s audited financial statements, as well as the Office of Inspector General’s assessment of the agency’s performance.
Notably, the FY 2024 report addressed the FTC’s strategic goal of protecting the public from unfair methods of competition in the marketplace and promoting fair competition. There were two financial metrics by which the FTC’s performance was judged. First, the FTC established an FY 2024 target of $2.4 billion in total consumer savings and other measurable benefits generated by antitrust enforcement. The report reveals actual savings due to antitrust enforcement in FY 2024 of $4.36 billion. Next, the FTC set a goal of $25.00 in consumer savings for every $1 spent by antitrust enforcement. The report found the FTC produced $41.50 in consumer savings per $1 spent on antitrust enforcement.
In calculating both of these metrics, FTC staff uses “case-specific” data where available or a formula of 3 percent of the volume of commerce in the markets affected. However, when a merger is not consummated, it’s unclear whether the staff is utilizing its own analysis of potential cost increases or the formula.
Nevertheless, the FY 2024 report shows that, from the FTC’s perspective, these two metrics reveal that the FTC’s increased antitrust enforcement efforts have been quite successful and could provide the agency with evidence supporting its current enforcement posture.
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