Abstract
The paper analyzed the level of urbanization and the trends of household consumption within Liaoning Province. Three sets of corresponding data, included the urbanization rate, rural residents' average propensity to consume and urban residents' average propensity to consume, were applied to the econometric analysis. Then, the paper made an conclusion that the household consumption has an positive promotion to the development of urbanization. Further more, Grey Correlation Analysis was applied to analyze the correlation of urban and rural household consumption between eight categories of consumption, found that five of the eight categories of consumption were closely related to rural household consumption. This showed that rural household consumption had made a great contribution to improve the level of urbanization
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