The only solution is a completely new approach to taxation and spending: Systemic Fiscal Reform.

The emergence of the direct Peer to Peer connections of the Internet will enable the financial system to be by-passed through a viral process I refer to as Napsterisation - after the disruptive software which has changed the music industry for ever.

To paraphrase John Gilmore:

"The Internet interprets privilege as damage and routes around it."

I would love to share your optimism, except as a scientist, I want to see the data.  Would you please begin a diary series of people/businesses/institutions which are currently utilizing your ideas so that they seem practical/real, not just pie-in-the-sky.

In the end, might makes right. Nothing has changed since the caveman.