Euler's Number- Khan Academy Explains e

What the Heck Is Euler's Number?

You're probably familiar with π (pi) — that 3.14159 number that keeps showing up in circles. Well, e is another constant like that, approximately 2.71828...

But here's what trips people up: unlike pi, which has a geometric meaning anyone can visualize, e comes from a calculus concept. That makes it harder to "get" intuitively. Khan Academy tries to fix this, and I'll break down their approach.

Where e Actually Comes From

The formal definition is dry as dust:

e is the limit of (1 + 1/n)^n as n approaches infinity

Yeah, that doesn't help much. Let me give you something useful instead.

The Compound Interest Version

Imagine you put $1 in a bank account with 100% annual interest. Basic math says you'll have $2 after a year.

But what if interest compounds more frequently? Here's what happens:

That "compounded continuously" result? That's e. It represents the maximum possible growth from continuous compounding — you can't beat it no matter how finely you slice the time periods.

How Khan Academy Explains It

Khan Academy's approach starts with the (1 + 1/n)^n formula and walks you through what happens as n gets huge. Sal Khan (the founder) has a habit of building intuition through examples before touching the formal math.

His calculus playlist covers:

The good news: if you've watched his videos on exponential functions, you're halfway there. e is just a specific exponential base — one that shows up naturally in calculus because of its derivative property.

The Derivative Property That Makes e Special

Most exponential functions are annoying in calculus. The derivative of 2^x involves a messy limit. But e^x just... differentiates to itself:

d/dx(e^x) = e^x

This makes the math cleaner. That's not a coincidence — it's why e is called the natural base. Calculus problems involving growth and decay naturally land on e because it simplifies everything.

e Shows Up Everywhere

Once you know to look for it, you'll see e in places you didn't expect:

It's not magic. It's just that continuous processes — which show up constantly in science and engineering — naturally involve e.

Comparing: e vs π vs Other Constants

Constant Approximate Value Where It Comes From Primary Use
e 2.71828... Calculus / limits Continuous growth, decay, probability
π 3.14159... Geometry / circles Circles, angles, periodic phenomena
φ (golden ratio) 1.61803... Algebra / geometry Fibonacci sequences, art, architecture
√2 1.41421... Geometry / diagonals Right triangles, diagonal calculations

e is the only one of these that calculus produces on its own. The others come from geometry or algebra. That's why mathematicians call it the natural base — it emerges from the mathematics of change itself.

Getting Started: How to Actually Learn This

Skip the Wikipedia rabbit hole. Here's a practical path:

  1. Watch Khan Academy's introduction to e — search "Euler's number introduction" in their calculus playlist. Sal walks through the compound interest example, which is the most intuitive entry point.
  2. Understand the limit visually — use a spreadsheet. Plug in larger and larger values of n into (1 + 1/n)^n. Watch it converge toward 2.71828.
  3. Learn e^x derivatives — this is where Khan Academy's calculus content shines. The fact that e^x is its own derivative is the key property you need for exams.
  4. Connect to ln(e) — the natural logarithm ln(x) is the inverse of e^x. If you understand logarithms, this clicks fast.

The Bottom Line

e isn't complicated because it's hard — it's complicated because most textbooks introduce it backwards. They start with the formula and expect you to feel its significance.

Khan Academy does it right: start with compound interest, show why the number matters, then introduce the formal definition. Once you see e as "the growth constant that differentiates cleanly," everything clicks.

Go watch the videos. Then come back and look at the formula (1 + 1/n)^n — it'll make sense this time.