Which is a disadvantage of having a single-resource economy rather than a diversified economy?

A single-resource economy depends heavily on one resource for income and jobs. If that resource loses value, demand or prices can fall, weakening the whole economy. A diversified economy is less vulnerable because other industries can help make up for the loss. So the disadvantage is that the economy will weaken if its resource loses value.

AI-written and checked against the verified answer.