margins plot interpretation for continuous variables

[Hazel Gould]

Hi there,

I have just done a plot of my margins for how the effect of savings rate on investment rate changes when the number of terrorist attacks increases from 0 to 400 (max value). I am having problems understanding the output and what it means.

reg inv c.save##c.attacks L.inv lnpercap institqual lninf remit tradeopenness fdi, robust
margins, dydx(save) at(attacks = (0 100 200 300 400))
marginsplot

These are the results I get...

Does this mean that as the number of terrorist attacks increases the effect of saving on investment flips from being positive (e.g. a 1 percentage point increase in savings rate leads to a 0.65 percentage point increase in investment rate) to being negative (e.g. a 1 percentage point increase in savings rate leads to a -0.43 percentage point decrease in investment rate)???

Any guidance would be extremely helpful. Thank you so much in advance.

[Maarten Buis]

That sounds right

[Hazel Gould]

Maarten Buis Brilliant, thanks very much.