Well, that is the problem in your proof precisely. Numbers exist regardless of their decimal representation; the latter is just an historical artifact.
I believe you are confusing two different concepts: a number, and its representation as a collection of decimals digits. The latter, if expressed to a fixed number of decimals, is a rational number. The former, the number itself, comes in many flavors and some of them are outside the rationals, hence not the same thing as a finite collection of decimal digits. The algebraic irrationals themselves are ideally perfect entities, designed, by definition, to solve polynomial equations. [tex]\sqrt 2[/tex] is,
by definition, the positive solution of the equation [tex]x^2 = 2[/tex]. Approximations to it are something else; the number exists as this perfect entity regardless of any approximation. If only approximations existed, then only the rational numbers would exist.
Many concepts in mathematics are designed to be perfect, and exist only in the mind. A line in the plane, for example, has no width and does not care about the grain of the paper you draw it on. The latter notions belong only to the representations we poor humans need to communicate with each other. The line itself is
intended to be perfect; its a mental concept unconcerned by reality. So is [tex]\sqrt 2[/tex], designed by definition (along with its evil twin [tex]-\sqrt 2[/tex]) to be the only two numbers that, when squared, give exactly the integer 2. By definition. Your proof is attempting to redefine existing mathematical concepts.
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If you are so kind, could you quote the text you refer to, when you say
The second paragraph in your last write up backs up everything I am saying.
The second paragraph, as I count them from top to bottom,
We have been using the word "approximation", and I suspect with a somewhat vague meaning. Let me know if the following statements make sense to you.
does not seem to be the one. I would like to clear up the misunderstanding, so if you can quote the exact part of the text that you believe supports your position, that would help.