Government agency charged with oversight of antitrust and consumer protection legislation passed by Congress.
Established in 1916 under the administration of President Woodrow Wilson, the Federal Trade Commission (FTC) is another example of the continuing emphasis that progressives placed on the dissolution of trusts and monopolies. The FTC assumed the role of the former Bureau of Corporations but with expanded powers that allowed it to examine all corporate records and to grant cease-and-desist orders. The commission consists of five members who are appointed for seven-year terms. Once a commissioner is appointed and confirmed, the president cannot remove him or her from office. To ensure that the FTC fulfills its functions, Congress appropriates its funds on a yearly basis.
The FTC scrutinizes the nation’s corporations for antitrust activity through the examination of records, and it monitors mergers to provide the formation of future trusts. The FTC also examines trade practices to ensure that business is conducted without any unfair or deceptive tactics. If businesses threaten to adversely affect the consumer, the commission intervenes. Members also consult with the executive branch, Congress, and regulatory agencies.
