Provide an Appropriate Response $f ( x ) = \frac { c } { 1 + a e ^ { - b x } } , \text { where } b < 0 \text {. }$

question 115

Short Answer

Provide an appropriate response.
-Consider the logistic function $f ( x ) = \frac { c } { 1 + a e ^ { - b x } } , \text { where } b < 0 \text {. }$ 0. Is this function increasing or decreasing?

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Definitions:

Equilibrium Price

The price at which the quantity of goods supplied is equal to the quantity of goods demanded; also known as market-clearing price.

Equilibrium Quantity

At the market equilibrium price, the amount of goods or services available matches the amount that is demanded.

Inferior Good

An economic term for a good whose demand decreases as the consumer's income increases, contrasting with normal goods.