Math Problem Statement

Prove or provide counter-example: any complete and transitive binary relation > over X can be represented by a utility function, if: e e In X X (1), jis is if. finite; countable.

Solution

To address the question of whether any complete and transitive binary relation >> over a set XX can be represented by a utility function under the conditions that XX is finite or countable, let's analyze this in two parts:

1. Finite Set XX:

If XX is finite, then any complete and transitive binary relation >> over XX can indeed be represented by a utility function. This follows from the fact that for any finite set, you can assign a unique utility value to each element of XX in such a way that the utility function preserves the ordering defined by >>.

Proof:

  • Since XX is finite, enumerate its elements as x1,x2,,xnx_1, x_2, \dots, x_n.
  • Since >> is complete and transitive, the elements can be ordered such that x1>x2>>xnx_1 > x_2 > \dots > x_n.
  • Define a utility function u:XRu: X \rightarrow \mathbb{R} by assigning increasing utility values to the elements according to this order: u(x1)>u(x2)>>u(xn)u(x_1) > u(x_2) > \dots > u(x_n).
  • This utility function uu represents the relation >> because it preserves the order: xi>xjx_i > x_j if and only if u(xi)>u(xj)u(x_i) > u(x_j).

Thus, the claim holds when XX is finite.

2. Countable Set XX:

If XX is countable, the result can be more subtle. For a countable set XX, any complete and transitive binary relation >> can also be represented by a utility function.

Explanation:

  • For countable sets, the situation is similar to the finite case, but with the caveat that the utility function might need to take values in R\mathbb{R} (or another dense subset of the reals).
  • The key result here is the Debreu Representation Theorem, which states that if >> is a complete, transitive, and continuous binary relation on a separable metric space (like R\mathbb{R} or Q\mathbb{Q}), then there exists a continuous utility function that represents >>.

Since XX is countable, you can still enumerate the elements of XX as x1,x2,x_1, x_2, \dots. Under the completeness and transitivity conditions, it’s possible to construct a utility function u:XRu: X \rightarrow \mathbb{R} that represents >>.

Conclusion: The result is true for both finite and countable sets XX. In both cases, a utility function can represent the complete and transitive binary relation >> over XX.

Summary

  • Finite XX: The relation >> can be represented by a utility function.
  • Countable XX: The relation >> can still be represented by a utility function.

Follow-up Questions:

  1. How would the situation change if XX were uncountable?
  2. What if the binary relation >> was not transitive? Could a utility function still represent it?
  3. How does the concept of a utility function change in higher-dimensional spaces?
  4. Can you provide an example of constructing a utility function for a specific countable set and binary relation?
  5. How does the continuity of the utility function influence the representation of the binary relation?

Tip:

When proving the existence of a utility function, remember that the transitivity and completeness of the binary relation are crucial. These properties ensure that the relation can be well-ordered, which is necessary for defining a corresponding utility function.

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Math Problem Analysis

Mathematical Concepts

Binary Relations
Utility Functions
Countable Sets
Debreu Representation Theorem

Formulas

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Theorems

Debreu Representation Theorem

Suitable Grade Level

Advanced Undergraduate Level