A new environment demands a new economy. Since we are destroying the earth with the present economy and since we are facing fundamentalist Muslim enemies intent on International jihad (violent and non-violent jihad), and since we have radical international goals, we must have a new economic model.
This economy must be dedicated to meet all the basic needs of all the citizens, encourage an ever-increasing quality of life for all, and have maximum financial savings and maximum investment.
These economic goals imply a minimum of consumption of luxury goods. We must have enough federal money (as well as a universal draft) in order to provide no only security for the U.S. but to help provide peace in the whole world, two goals which are one in the same (since wars anywhere can escalate into a world war).
The economy must follow the Japanese model more than the historical American model. Americans could be encouraged to save and invest rather than spend as much as they can.
American citizens could be encouraged to sacrifice as much as possible to achieve our international goals. Being moral and political leaders of the world enhance the identity of each American citizen, especially when they are traveling abroad, and one’s public identity is one of the most important aspects of national self-interest.
This authentic defense budget could easily be raised by having high taxes on luxury goods and either no taxes, or subsidies, for necessary goods. The increase in quality of life could include some of the following goals:
1) no-interest, 30 year educational loans for all Americans regardless of age. This would allow for constant re-training and re-educating. Free education as much as possible, especially (and perhaps exclusively) in areas which help the economy;
2) low crime rates, prison reform;
3) more subsidies to the arts and public entertainment, more public and less private beaches
4) no tax on capital gains for individuals earning less than $200,000 a year;
5) minimal — or no — tax on small businesses producing green goods or services, so that individuals would have a better chance to invest in a new, contributory business; and
6) no tax, or subsidies, for green goods. These goods would include small houses, small cars, and healthy foods. A high tax on luxury and destructive goods. These goods would include: destructive foods, especially meat products and imports of luxury goods, especially from China.
A national policy would be created to guide American businesses so that they produce essential and healthy goods. They could produce more healthy goods, not only for a higher quality of life but also for a healthier earth.