Consider the following production possibilities frontier (PPF), which describes a factory's possibilities for producing cell phones or bicycles: Suppose the company is currently producing 9 thousand cell phones and 2 thousand bicycles but is considering producing another 1 thousand bikes. What is the opportunity cost of increasing bike production now?
a) The opportunity cost is the number of cell phones that could have been produced with the same resources.
b) The opportunity cost is the number of bicycles that could have been produced with the same resources.
c) The opportunity cost is the increase in production capacity for bicycles.
d) The opportunity cost is the decrease in production capacity for cell phones.
