The cumulative hierarchy is defined by transfinite recursion:Prove transitivity and nesting together by transfinite induction. The empty set is transitive. If is transitive, each satisfies , so . If , then ; thus the successor stage is transitive. At a limit, if , choose an earlier stage containing and apply its transitivity. The union is transitive and contains every earlier stage. These observations also give for all .
By Axiom of foundation and well-founded recursion, define the rank of a set by . Axiom schema of replacement ensures this is an ordinal. Induction shows every element of lies in , soThus every set appears in the hierarchy; the argument uses foundation, not the existence of a set containing all sets.
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