Catherine, this has to deal with net movement. If I take two steps forward and three steps back, I'm a step behind where I started.
In an hour, our caterpillar climbs 1.5 inches in an hour and slides down .5 inches in another hour, how far from the bottom is it? 1 inch! Next it climbs to 2.5 inches and slides down to 2 inches.
If it ends up an inch further up every two hours, I know you can figure out the answer!