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inflection point

 
Dictionary: inflection point

n.
A moment of dramatic change, especially in the development of a company, industry, or market.


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Investment Dictionary: Inflection Point
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An event that changes the way we think and act.
-Andy Grove, Founder of Intel.

Investopedia Says:
For example, the fall of the Berlin Wall was an inflection point in global politics and the commercialization of the Internet was an inflection point in technology.

Think of it as a turning point. When a company makes a major strategic change it is said to be "at an inflection point." This profound change could be positive or negative.


Wikipedia: Inflection point
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Plot of y = x³ with inflection point of (0,0), also a saddle point.

In differential calculus, an inflection point, or point of inflection (or inflexion) is a point on a curve at which the curvature changes sign. The curve change from being concave upwards (positive curvature) to concave downwards (negative curvature), or vice versa. If one imagines driving a vehicle along a winding road, it is a point at which the steering-wheel is momentarily "straight" when being turned from left to right or vice versa.

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Equivalent forms

The following are all equivalent to the above definition:

  • a point on a curve at which the second derivative changes sign. This is very similar to the previous definition, since the sign of the curvature is always the same as the sign of the second derivative, but note that the curvature is not the same as the second derivative.
  • a point (x, y) on a function, f(x), at which the first derivative, f′(x), is at an extremum, i.e. a minimum or maximum. (This is not the same as saying that y is at an extremum).
  • a point on a curve at which the tangent crosses the curve at that point.
Plot of y = x³, rotated, with tangent line at inflection point of (0,0).
Plot of f(x) = sin(2x) from −π/4 to 5π/4; note f’s second derivative is f″(x) = –4sin(2x). Tangent is blue where curve is concave up (above its own tangent), green where concave down (below its tangent), and red at inflection points: 0, π/2 and π

A necessary but not sufficient condition

Note that since the first derivative is at an extremum, it follows that the second derivative, f″(x), is equal to zero, but the latter condition does not provide a sufficient definition of a point of inflection. One also needs the lowest-order non-zero derivative to be of odd order (third, fifth, etc.). If the lowest-order non-zero derivative is of even order, the point is not a point of inflection. (An example of such a function is y = x⁴).

It follows from the definition that the sign of f′(x) on either side of the point (x,y) must be the same. If this is positive, the point is a rising point of inflection; if it is negative, the point is a falling point of inflection.

Categorization of points of inflection

Points of inflection can also be categorised according to whether f′(x) is zero or not zero.

  • if f′(x) is zero, the point is a stationary point of inflection, also known as a saddle-point
  • if f′(x) is not zero, the point is a non-stationary point of inflection
Plot of y = x⁴ – x with tangent line at non-inflection point of (0,0).

An example of a saddle point is the point (0,0) on the graph y = x³. The tangent is the x-axis, which cuts the graph at this point.

A non-stationary point of inflection can be visualised if the graph y = x³ is rotated slightly about the origin. The tangent at the origin still cuts the graph in two, but its gradient is non-zero.

Note that an inflection point is also called an ogee, although this term is sometimes applied to the entire curve which contains an inflection point.

Asymptotic functions

It is worthy to note that some functions change concavity without having points of inflection. Take, for example, the function 2x²/(x² – 1). It is concave up when |x| > 1 and concave down when |x| < 1. However, it has no points of inflection because 1 and -1 are not in the domain of the function.

See also

External links


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Dictionary. The American Heritage® Dictionary of the English Language, Fourth Edition Copyright © 2007, 2000 by Houghton Mifflin Company. Updated in 2009. Published by Houghton Mifflin Company. All rights reserved.  Read more
Investment Dictionary. Copyright ©2000, Investopedia.com - Owned and Operated by Investopedia Inc. All rights reserved.  Read more
Wikipedia. This article is licensed under the Creative Commons Attribution/Share-Alike License. It uses material from the Wikipedia article "Inflection point" Read more