Jervis discusses the financial crisis in California. He talks about how government money has been spent on state programs, local governments and schools. He expresses concern about a decrease in the state's largest source of revenue, which is sales tax receipts. Jervis calls for a re-examination of state and local programs and their effectiveness. He argues that some programs should be eliminated to reduce spending. He supports the exploitation of domestic energy resources, which would prevent the nation's wealth from flowing to foreign countries that provide the U.S. with energy resources. Jervis also mentions that politicians have avoided suggesting a tax increase which, he says, is needed to meet the state's financial obligations.