The interpretation for the equilibrium condition for the loans is much the same as in. the deposit market condition. As the market becomes more fragmented with a larger number. of banks (n ), the demand of loans per banks becomes smaller under competition.
Objectives: In this tutorial, we finally obtain the formal defintion of limits and relate this definition to our previous definition. We verify this definition for a few examples. First, we find algebraically the delta corresponding to a specific epsilon and then find algebraically the delta for an arbitrary epsilon.efinition. The limit of f(x) as x approaches a is L. if and only if, given, there exists such that 0 d implies that |f(x) - L| e. 1  Discussion of how to obtain the above formal definition of limits from our previous definition of limits.
Taking our definition of e as the infinite n limit of, it is clear that ex is the infinite n limit of. Let us write this another way: put y = nx, so 1/ n = x / y. Therefore, ex is the infinite y limit of. The strategy at this point is to expand this using the binomial theorem, as above, and get a power series for ex.hese calculations strongly suggest that as n goes up to infinity, goes to a definite limit. It can be proved mathematically that does go to a limit, and this limiting value is called e. The value of e is 2.7182818283.