Solution

ID: past-exam-of-the-probability-statistics-and-options-ii-course-of-the-university-of-oxford/2009/p/p3/a/solution

Interpolation means for every node. Define the cardinal polynomials , which are well defined because the nodes are distinct. They have degree and satisfy . Hence
belongs to and interpolates. If two polynomials in interpolate the same data, their difference has distinct zeros but degree at most , so it is zero. This proves uniqueness. The phrase “of degree ” denotes membership in here: the actual degree may be smaller, for example for constant data.

New to topics? Read the docs here!