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This equation represents a family of hyperbolas that are translated vertically. When you graph \( y=\frac{1}{x} \), you get a classic hyperbola with two branches. By adding 3, you shift the entire graph upwards, making the horizontal asymptote at \( y=3 \). Hence, as \( x \) approaches both positive and negative infinity, \( y \) will get closer to 3 but never touch it. In real-world applications, this kind of equation can model various phenomena, such as the relationship between pressure and volume in gases (Boyle's Law) or the diminishing returns seen in economics, where increasing investment leads to proportionately smaller gains. It’s also seen in many natural processes where one variable inversely affects another.