How to round 0.4999... ? Is it 0 or 1?
Solution 1:
It's $1$, because $0.49\ldots$ is the same as $0.5$. If rounding is to be well-defined, it can't map one real number to two integers, so whatever it maps $0.49\ldots$ to, it better maps it to the same integer as $0.5$. You could round both to $0$, of course, but that wouldn't then be the way we usually round.
What this shows you is that rounding doesn't commute with limits, i.e. there's a difference between find the limit of a sequence and then rounding, and rounding first and then finding the limit. As you correctly observed, all values $a_n = 0.4\underbrace{9\ldots 9}_{n\text{ times}}$ are rounded down to zero. Thus, $$ \lim_{n\to\infty} \text{round }(a_n) = 0 $$ On the other hand, $\lim_{n\to\infty} a_n = 0.5$, and thus $$ \text{round }\left(\lim_{n\to\infty} a_n\right) = 1 $$
There's another word for functions which don't commute with limit - they're called non-continuous. So what you have discovered is simply that rounding is not a continuous function.
Solution 2:
For $0\le x\le 1$, we round $x$ to $1$ if $x\ge \frac12$ and to $0$ if $x<\frac12$ (though there are many conventions, see e.g. Wikipedia on rounding; the section "Table-maker's dilemma" a bit further down may also be interesting). Since $0.4\bar9=\frac12$, we should round to $1$. Another way of looking at this is that we always consider only the standard decimal expansion (i.e. we prefer $\bar0$ over $\bar 9$), and we are allowed to treat the first decimal as $4$ only if we know that it cannot turn out as $5$ "later". Thus if an inexact measurement gives us that $0.495\le x\le0.5$, we cannot say definitely, what $\operatorname{round}(x)$ should be (we could if the measurement resulted in $0.495<x<0.5$). This is not different from the fact that we cannot say definitely what $\operatorname{round}(x)$ should be if our measuremen merely says that $0.4997<x<0.5003$.
Solution 3:
You're right. Since $.4\bar{9}=.5,$ if you want your rounding function to be well-defined you'll have to require an exception: round based on the first digit after the one you're rounding to, unless it's a $4$ followed by infinitely many $9$s.
Solution 4:
It is not obvious that 0.5 should be rounded to 1. Obviously 0.49999... should be treated the same because it is the same number. Wikipedia rounding article