We explore the relative strength of the narrow emission lines in a Sloan Digital Sky Survey based sample of broad Hα selected active galactic nuclei (AGN), defined in Paper I. We find a decrease in the narrow to broad Hα luminosity (LbHα) ratio with increasing LbHα, such that both and scale as for . Following our earlier result that LbHα ∝ Lbol, this trend indicates that the relative narrow line luminosity decreases with increasing Lbol. We derive . This implies that the bolometric correction factor, , decreases from 3000 at to 300 at . At low luminosity, the narrow component dominates the observed Hα profile, and most type 1 AGN appear as intermediate type AGN. Partial obscuration or extinction cannot explain the dominance of intermediate type AGN at low luminosity, and the most likely mechanism is a decrease in the narrow line region covering factor with increasing Lbol. Deviations from the above trend occur in objects with L/LEdd ≲ 10−2.6, probably due to the transition to LINERs with suppressed [O iii] emission, and in objects with MBH > 108.5 M⊙, probably due to the dominance of radio-loud AGN, and associated enhanced [O iii] emission.