However, cards that have an additional effect that reduces your resources see that effect occur at the very end of your turn. If you have only 17 gems and play Vampire, it will consume the gems for its cost, deliver the attack, reduce your Magic by one, grant your production (based on the new Magic value), and THEN subtract seven additional gems. Unless your Magic is greater than seven after the reduction, you would then have zero gems.
This is notably different from the 3DO Arcomage game where production occurred at the beginning of each turn rather than the end. If Vampire existed as such in that game, the -7 gems tagline would have had no effect in such a situation.