Some countries may not worry about an unfavourable balance on current account because [IBPS Clerk 2015]

• A.  they know they can always borrow to cover the deficit
• B.  they import capital goods to build up export industries that will eventually, eliminate the deficit.
• C.  deficits are always a stimulant to economic growth, which is a higher priority
• D.  they can if necessary, fix the exchange rate to wipe out the deficit
• E.  their capital account will be favourable since the balance of payments always ends up at 0