Wonkbook: A confusing thing happens when women rise to power in companies

Sponsored by Qualcomm | By Danielle Paquette A new study from the University of Notre Dame examines the effect that women have on corporate boards, where they are a historically rare presence, and shows us something … confusing. Turns out that an usually large share of female directors at public companies is linked to significantly fewer mergers and acquisitions. …   The latest economic and domestic policy from Wonkblog   (Washington Post illustration; iStock) By Danielle Paquette A new study from the University of Notre Dame examines the effect that women have on corporate boards, where they are a historically rare presence, and shows us something … confusing. Turns out that an usually large share of female directors at public companies is linked to significantly fewer mergers and acquisitions. Is that a bad thing? Researchers looked at nearly 3,000 acquisitions at public companies in the United States between 1998 and 2010, comparing how many occurred before and after the boards added one or more women. Firms that increased the number of female directors from zero to two gobbled up fewer companies. After a year, their acquisition rate dipped by an average of 18 percent, according to the study. Spending on mergers and acquisitions also fell by an average of $97.2 million. Typical acquisition size dropped 12 percent. On the surface, these findings could be interpreted in at least two ways. Read the rest on Wonkblog.   Chart of the day The Obama administration is supporting a bill that could result in a reduced minimum wage for young workers in Puerto Rico. Max Ehrenfreund has more.  Top policy tweets "Meet Zephyr Teachout,Pramila Jayapal & Lucy Flores-- 3 Progressive women running for office this critical year https://t.co/xN2rO4GwDq" -- @KatrinaNation "As wages have fallen, the share of young men living in the home of their parents has risen. https://t.co/LxDu2c3DZW" -- @emilymbadger "The Clinton-era government surplus was bad and @HillaryClinton should not try to bring it back https://t.co/7rh8ohweNm" -- @jeffspross ADVERTISEMENT   Most Recent Posts from Wonkblog The weird thing that happens when you put more women in the boardroom The conversation changes By Danielle Paquette  •  Read more »   One of America’s healthiest trends has had a pretty unexpected side effect The strange consequence of one of America's healthiest trends. By Roberto A. Ferdman  •  Read more »   What you need to know about the next recession (starring Donald Trump) "Demagogue Donald" dwarfs congressional dysfunction as a threat to American prosperity By Lawrence H. Summers  •  Read more »   Why 37 is a very special age This chart is either really encouraging or kind of depressing, depending on your age By Ana Swanson  •  Read more »   Where the minimum wage might fall for some Americans The Obama administration supports a bill that could result in a reduced minimum wage for some. By Max Ehrenfreund  •  Read more »   The big advantage superstar cities have over everyone else Venture capital is incredibly concentrated, which chills startup creation in most of the country By Jim Tankersley  •  Read more »   Photos of the world your eye cannot see The camera captures wavelenths of light that are normally too large to be seen by the human eye By Ana Swanson  •  Read more »   ADVERTISEMENT   Recommended for you   Federal Insider Federal news and policy update, in your inbox daily. Sign Up »         Share Wonkbook:       Twitter      Facebook Trouble reading? Click here to view in your browser. You received this email because you signed up for a Wonkblog newsletter. For additional free newsletters or to manage your newsletters, click here. We respect your privacy. If you believe that this email has been sent to you in error or you no longer wish to receive email from The Washington Post, click here. Contact us for help. ©2016 The Washington Post, 1301 K St NW, Washington DC 20071