Final answer:
The assembly line's limit of 60 bicycles per hour can be attributed to production capacity, labor efficiency, and technological factors, along with decisions made by the firm to balance labor and machinery to minimize costs.
Step-by-step explanation:
The assembly line may not be able to produce more than 60 bicycles per hour due to several factors, including production capacity, labor efficiency, and technological constraints. For instance, the production of bicycles might be optimized with a balance of labor and machinery, as found in a firm's decision to minimize manufacturing costs by adopting a plan of 50 hours of labor and one machine. If the union negotiates a higher wage for labor, the firm might prefer to use more machines and hire fewer workers, although this would not directly impact the maximum production rate. Additionally, Henry Ford's assembly line methods, intended to maximize efficiency of movement, illustrate how advances in production led to more efficiency and speed in manufacturing, underscoring the importance of the assembly system's design for determining production limits.