Hi,
First off, I would not let your baby call the shots with what he can and can't eat. My mom did this with her dog and now you can't go near her when she's eating a treat, she FREAKS! To me, what if that "treat" was something that was harmful to her, like a dead animal she picked up or even worse rat poison (which all animals love the taste of and is fatal)? If I did anything right with my boys it was that at any given time, I could take anything out of their mouths and away from them. They are not treat possessive or food possessive at all. They eat out of the same bowl with no problems... they can both eat a treat together and not fight or growl at each other or anyone else who comes near them. Even better, when I feel a chew treat gets too small but they will keep eating it, I can go over and take it right out of their mouth without so much as a slight whine from them. This gives me so much peace of mind.
In order to do this I started giving treats and every 30 seconds or so, I took it away and said "Drop it". I made them sit before I gave it back. Repeatedly I did this with them. Now I can say Drop it and they will drop the treat on their own.
As for kids, if I am not around they are good with them. If I am around, they get possessive of me and seem to be afraid of being taken away from me. If Fletcher is sitting on my lap and my nephew comes up near me, he'll lunge and growl. This is new, he's never done this before with another kid. I will actually pull him back and put him in another room by himself when he does this. I won't risk my 2 year old nephew getting bit. If a kid does pick them up to hold them, they mainly just sit there nice and calm and still and stare longingly me at me as if they are being tortured. When the kid lets them go, they beeline back to me! LOL