Contour set explained

In mathematics, contour sets generalize and formalize the everyday notions of

Formal definitions

X

\succcurlyeq~\subseteq~X2

and an element

x

of

X

x\inX

The upper contour set of

x

is the set of all

y

that are related to

x

:

\left\{y~\backepsilon~y\succcurlyeqx\right\}

The lower contour set of

x

is the set of all

y

such that

x

is related to them:

\left\{y~\backepsilon~x\succcurlyeqy\right\}

The strict upper contour set of

x

is the set of all

y

that are related to

x

without

x

being in this way related to any of them:

\left\{y~\backepsilon~(y\succcurlyeqx)\landlnot(x\succcurlyeqy)\right\}

The strict lower contour set of

x

is the set of all

y

such that

x

is related to them without any of them being in this way related to

x

:

\left\{y~\backepsilon~(x\succcurlyeqy)\landlnot(y\succcurlyeqx)\right\}

The formal expressions of the last two may be simplified if we have defined

\succ~=~\left\{\left(a,b\right)~\backepsilon~\left(a\succcurlyeqb\right)\landlnot(b\succcurlyeqa)\right\}

so that

a

is related to

b

but

b

is not related to

a

, in which case the strict upper contour set of

x

is

\left\{y~\backepsilon~y\succx\right\}

and the strict lower contour set of

x

is

\left\{y~\backepsilon~x\succy\right\}

Contour sets of a function

f

considered in terms of relation

\triangleright

, reference to the contour sets of the function is implicitly to the contour sets of the implied relation

(a\succcurlyeqb)~\Leftarrow~[f(a)\trianglerightf(b)]

Examples

Arithmetic

x

, and the relation

\ge

. Then

x

would be the set of numbers that were greater than or equal to

x

,

x

would be the set of numbers that were greater than

x

,

x

would be the set of numbers that were less than or equal to

x

, and

x

would be the set of numbers that were less than

x

.

Consider, more generally, the relation

(a\succcurlyeqb)~\Leftarrow~[f(a)\gef(b)]

Then

x

would be the set of all

y

such that

f(y)\gef(x)

,

x

would be the set of all

y

such that

f(y)>f(x)

,

x

would be the set of all

y

such that

f(x)\gef(y)

, and

x

would be the set of all

y

such that

f(x)>f(y)

.

It would be technically possible to define contour sets in terms of the relation

(a\succcurlyeqb)~\Leftarrow~[f(a)\lef(b)]

though such definitions would tend to confound ready understanding.

In the case of a real-valued function

f

(whose arguments might or might not be themselves real numbers), reference to the contour sets of the function is implicitly to the contour sets of the relation

(a\succcurlyeqb)~\Leftarrow~[f(a)\gef(b)]

Note that the arguments to

f

might be vectors, and that the notation used might instead be

[(a1,a2,\ldots)\succcurlyeq(b1,b2,\ldots)]~\Leftarrow~[f(a1,a2,\ldots)\gef(b1,b2,\ldots)]

Economics

In economics, the set

X

could be interpreted as a set of goods and services or of possible outcomes, the relation

\succ

as strict preference, and the relationship

\succcurlyeq

as weak preference. Then

x

would be the set of all goods, services, or outcomes that were at least as desired as

x

,

x

would be the set of all goods, services, or outcomes that were more desired than

x

,

x

would be the set of all goods, services, or outcomes that were no more desired than

x

, and

x

would be the set of all goods, services, or outcomes that were less desired than

x

.

Such preferences might be captured by a utility function

u

, in which case

x

would be the set of all

y

such that

u(y)\geu(x)

,

x

would be the set of all

y

such that

u(y)>u(x)

,

x

would be the set of all

y

such that

u(x)\geu(y)

, and

x

would be the set of all

y

such that

u(x)>u(y)

.

Complementarity

On the assumption that

\succcurlyeq

is a total ordering of

X

, the complement of the upper contour set is the strict lower contour set.

X2\backslash\left\{y~\backepsilon~y\succcurlyeqx\right\}=\left\{y~\backepsilon~x\succy\right\}

X2\backslash\left\{y~\backepsilon~x\succy\right\}=\left\{y~\backepsilon~y\succcurlyeqx\right\}

and the complement of the strict upper contour set is the lower contour set.

X2\backslash\left\{y~\backepsilon~y\succx\right\}=\left\{y~\backepsilon~x\succcurlyeqy\right\}

X2\backslash\left\{y~\backepsilon~x\succcurlyeqy\right\}=\left\{y~\backepsilon~y\succx\right\}

See also

References

  1. Book: Robert P. Gilles. Economic Exchange and Social Organization: The Edgeworthian Foundations of General Equilibrium Theory. Springer. 1996. 35. 9780792342007.

Bibliography