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Compact Sets
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Definition of Compact Sets: A set is compact if it is closed and bounded.

The concept comes up most often in economics in the context of a theory in which a function must be maximized. Continuous functions that are well defined on a compact domain have a maximum and minimum; this is the Weierstrauss Theorem. Noncontinuous functions, or functions on a noncompact domain, may not. (Econterms)

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