Final answer:
A trough of a recession occurs when economic indicators such as output and employment fall to their lowest levels. The Great Recession is one of the stark examples where the U.S. experienced severe economic declines, including substantial job losses and reduced consumer spending.
Step-by-step explanation:
A trough of a recession is when output and employment "bottom out" at their lowest levels. A recession is a significant decline in economic activity spread across the economy, lasting more than a few months, visible in real GDP, real income, employment, industrial production, and wholesale-retail sales. It typically begins after the economy reaches a peak of activity and concludes as the economy reaches its trough.
For instance, the Great Recession, which spanned from December 2007 to June 2009, saw substantial impacts on the U.S. economy, with the unemployment rate reaching a peak of 10.1%. During this period, approximately 170,000 small businesses closed, and mass layoffs peaked in February 2009 with 326,392 workers receiving notices. Household spending dropped by 7.8%, showcasing the deep reductions in incomes, demand, consumption, and employment that define a recession.