Dick takes notes for what will eventually become The Transmigration of Timothy Archer. He brainstorms using previous ideas from the exegesis, and among other things covers sacred mushrooms, the Dead Sea scrolls, Zeus Zagreus, Orphic rites, Jacob Boehme and the bicameral mind.
In VALIS Dick depicted Christ as Horselover Fat (who had evolved from Confession of a Crap Artist’s Jack Isidore), which means Dick (as H. Fat) contains Christ. Again he puffs up VALIS as an unparalleled work of art. In real life Dick is consumed by doubt but as H. Fat in VALIS this doubt is converted into absolute faith. H. Fat is a fool who finds Christ, so Dick is curious if that makes Dick himself the fool. After seeing God he feels like he is stuck back in purgatory and wonders if he needs to model himself after the fool H. Fat / Jack Isidore if he is to be saved.