Variables

A variable is a free term in a $\lambda$-term if it is not bound by a $\lambda$.

More precisely, the set of free variables of a term is defined as:

$\displaystyle FV(x)$ $\displaystyle = {x}$ (10)
$\displaystyle FV(\lambda x.M)$ $\displaystyle = FV(M)-{x}$ (11)
$\displaystyle FV(MN)$ $\displaystyle = FV(M) \cup FV(N)$ (12)

Terms without free variables are called closed terms.

(I definitely know what's going on)