There's an interesting article on ninemsn this about morning about this. Title reads "Skip licorice during pregnancy for healthier kids". Not sure that I can put the link up, but it's on ninemsn.
The research that the ninemsn article refers to cautioned against "excessive intake" of licorice in pregnancy (more than 500g per week). It's believed that a constituent of (pure) licorice allows higher levels of the stress hormone cortisol to cross the placenta and this can affect brain development.
I had no idea about this while I was pregnant. I went through periods of eating a couple of small pieces of soft licorice to help with constipation.
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