Explanation:
The statement "Investment function is positively dependent on the interest rate and negatively dependent on production" is false. The investment function is influenced by various factors, including the interest rate and production, but it is not solely dependent on these factors.

Factors Affecting Investment Function:
1. Interest Rate: The interest rate plays a crucial role in determining investment decisions. When interest rates are low, it becomes cheaper to borrow money, which encourages businesses to invest in new projects and expansions. On the other hand, high interest rates can discourage investment.

2. Production: The level of production in an economy can also impact investment decisions. When production is high, businesses may be more confident in investing in new ventures as there is a greater demand for their products. Conversely, if production is low, businesses may be hesitant to invest as there is less demand for their goods and services.

3. Economic Conditions: The overall economic conditions, including factors like GDP growth, inflation, and consumer confidence, can influence investment decisions. During periods of economic growth and stability, businesses are more likely to invest. Conversely, during recessions or periods of uncertainty, businesses may hold back on investments.

4. Government Policy: Government policies, such as tax incentives or regulations, can influence investment decisions. For example, tax breaks for investments in certain sectors can incentivize businesses to invest in those areas.

5. Business Expectations: Business expectations about future economic conditions, market trends, and profitability can also impact investment decisions. If businesses anticipate strong future growth or increased demand, they may be more inclined to invest.

Conclusion:
The investment function is influenced by various factors, including the interest rate, production, economic conditions, government policy, and business expectations. It is not solely dependent on any single factor. Therefore, the statement that the investment function is positively dependent on the interest rate and negatively dependent on production is false.