This paper expands on schematic theory through a review of recent work in the field of semiotics. Content and formal schemata are shown to be grounded respectively in perceptual (abductive) and indexical (inductive) strategies of inference. A third kind of schemata is based on deductive generalization and referred to as abstract schemata. All three kinds of schemata are examined in relation to active interpretations of photographs, video comprehension, and discourse comprehension. It is argued that comprehension language acquisition and language use are invariably grounded in true narrative representations. These are explained and differentiated from several degeneracies, namely fictions, errors, and lies. Implications for literacy, language acquisition, and teaching are considered. Results from empirical studies conform to the prediction that abstract schemata are more powerful than formal schemata, which in turn are more powerful than content schemata. (Contains 22 references.) (Author/MDM)