The consumption schedule shows a. that households consume more when interest rates are low. b. that consumption depends primarily on the level of business investment. c. the amounts households intend to consume at various possible levels of aggregate income. d. that the MPC increases in proportion to GDP.

The consumption schedule shows the amounts households intend to consume at various possible levels of aggregate income.

Explanation: Consumption function, in economics, the relationship between consumer spending and the various factors determining it. At the household or family level, these factors may include income, wealth, expectations about the level and riskiness of future income or wealth, interest rates, age, education, and family size.

A consumption schedule is a table of numbers showing the relation between consumption expenditures and income for the household sector. The income measure commonly used is national income or disposable income. Occasionally a measure of aggregate production, such as gross domestic product, is used instead.

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