Consumption Function

                 Consumption function is simply a name for the general income consumption relationship.It expresses a relationship between two quantities-income and consumption.It shows the production of the income that shall be devoted to consumption or that shall be spent on consumer goods.In other words,it shows how expenditure varies as income varies.
DEFINITION :-
1."The consumption function shows what changes can be expressed in the consumption from given changes in income."                    -Hansen
2."Consumption function is nothing more than a statement of the relation between consumption,expenditure and income."                           -R.G.Lipsey
3."It is a functional relationship indicating how consumption varies when income varies."          -Dillard
4."Consumption function may be defined as a schedule showing amounts that will be spent for consumer goods and services at different income levels."                             -Peterson

What is Consumption

   In economics, the word consumption has a special meaning.Here,the quality of a product to satisfy human wants is called utility or consumption."Consumption is the use of utility for the direct satisfaction of wants." For instance,hunger satisfying power of a 'Roti' or 'Bread', can be called consumption.It is an economic process through which wants are satisfied.In some cases consumption implies mere use of goods e.g use of pen in writing.But insome other cases it impiles the destruction of utility of goods,e.g apple in consumption.Consumption may be immediate at a particular time or may be gradual over a period of time.            "Consumption is the act of using goods and services to satisfy current wants."