Morocco is ruled by King Mohammed VI.Morocco has a stock exchange based in Casablanca, its largest city.In 2018 the Casablanca Stock Exchange listed 81 firms with a total market capitalization of $71.1 billion, compared to the Egyptian Exchange which lists 176 firms with a total market capitalization of $44.2 billion.

a. The Moroccan royal family owns the majority of shares in a holding company, SNI, that was listed on the Casablanca Stock Exchange before 2013. During the Arab Spring in 2011, there were large demonstrations in Morocco calling for a reduction in the power of the king. During these demonstrations, how would we have expected the price of SNI stock to have changed relative to the other stocks traded on the Casablanca Stock Exchange, and why?

b. SNI was de-listed (taken off) from the Casablanca Stock Exchange in 2013. How does this de-listing illustrate the advantage of the way politically connected firms were identified in Tunisia?

c. SNI holds shares in the largest beer producer and distributor in Morocco. Considering the types of government interventions we studied in relation to politically connected firms in Egypt, what is a likely way in which the Moroccan government might have reduced competition for this beer producer/distributor? As a Muslim-majority country, how might the Moroccan government justify the action you describe?