Possible Duplicate:
Rational Numbers
Suppose $\{x \in \mathbb{Q}|x>0,x^2<2\}$ has a supremum. Call this supremum $c$. In order to show that this cannot be the case, we learned that we need to introduce $\xi$ with $\xi=\frac{2c+2}{c+2}$ and then find a contradiction. But why this $\xi$? Why not another $\xi$? How do you find this choice?
First of all, I think you and Zarrax are both a little confused about what you are showing (or you are using a nonstandard definition of supremum). The supremum of a set is its least upper bound. Now, in the real numbers, your set has the least upper bound $\sqrt{2}$. What I suspect you are trying to show is that this set does not have any least upper bound in the rationals.
Let $f(c) = \frac{2c+2}{c+2}$.
The key properties of $f$ are
(1) $f$ maps $\mathbb{Q}$ to $\mathbb{Q}$.
(2) If $c$ is a rational upper bound for $\{ x : x^2<2 \}$, then $f(c)$ is a smaller upper bound.
If you'll allow me to mention real numbers, then property (2) can be rephrased as:
(2') If $\sqrt{2} < c$, then $\sqrt{2} < f(c) < c$.
Notice that my inequalities in (2') go the opposite direction from Zarrax's; I think that is because he read your question differently than I did.
So, any function which obeys (1) and (2') will make this proof work, and you shouldn't get too focused on which one your book uses. I would have thought of $c \mapsto \frac{c+2/c}{2}$.