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In this decade government at all levels has increased spending faster than the true rate of economic growth… The cure for inflation has been administered with a vengeance. Yet most people feel worse, not better, about their government benefactor. The elderly find their fixed income eroding in half; those about to retire fear their future pensions will never keep pace. Ten million California workers see their wages rise but not as fast as prices. Those on welfare obtain larger grants but find more expensive groceries.

Government, no less than the individual, must live within limits. It is time to bring our accounts into balance. Government, as exemplar and teacher, must manifest a self-discipline that spreads across the other institutions in our society, so that we can begin to work for the future, not just consume the present.

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The mistrust of our public institutions and mere anxiety about our future economy are more the order than the exception. Three quarters of the people do not trust their government. More than half of the eligible citizens in California again decided not to vote in the last election. Why? Why the anti-government mood? I asked this same question four years ago and now I believe I understand. Simply put, the citizens are revolting against a decade of political leaders who righteously spoke against inflation and excessive government spending but who in practice pursued the opposite course.

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The Democrats are a big tent with many different points of view. Having said all of that, I think there will be a tendency to passing too many laws and spend too much money. And I would say that the [new] governor is going to have to correct that. But he wouldn’t be able to correct it all because in order to govern he’s got to please some of these groups enough of the time to still be viable as a political leader.