Faced with the dilemma of financing World War II, President Franklin D. Roosevelt received strong advice to raise taxes and introduce a forced savings program. Instead, FDR wisely followed the advice of Treasury Secretary Henry Morgentthau, Jr., who worked with Peter Odegard, a political scientist who specialized in motivating the masses (read propaganda), and created the War Publicity Council.

The result was a whopping $187.5 billion ($2.5% $2 billion adjusted for inflation in 2009 dollars) to fund the war effort. As important as the money, War Bonds became a rallying cry for the public to express their patriotism, heed the calls to action of their iconic leaders, and enabled 85 million Americans to actively participate in the war effort.

The threat to our country in 2009 is greater than it was in the early 1940s. Not only is our economic survival threatened, but our survival as a species on this planet teeters on a dangerous foothold. Although it should come as no surprise, former US Comptroller General David M. Walker concluded in January 2008: “Current fiscal policy is unsustainable: We face large and growing structural deficits largely due to known demographic trends.” and rising health care costs. Simulations show that balancing the budget in 2040 could require actions as big as: Cutting total federal spending by 60 percent or Raising federal taxes to twice the current level.”

A current version of FDR’s War Bonds, the Prosperity Mandate’s proposed FundAmerica plan provides a new source of $2.5 trillion and:

• It’s Budget Neutral
• DOES NOT raise taxes
• No more debt required
• is sustainable and renewable

Is that how it works:

Tax incentives will be approved to encourage the public to participate in the FundAmerica plan. Incentives are a 10% tax credit on the total amount deposited in a Fund America program, plus interest earned is tax-free; In addition, the United States government will guarantee the deposits against institutional failure. The plan requires financing through the purchase of 5-year bank certificates of deposit that are then pledged as collateral for the bank to make loans under the FundAmerica-authorized program. To be authorized, a program must demonstrate and be able to purchase insurance in a full “pay” scenario, whether it be sale at completion, through permanent long-term financing, future proceeds sale, or other payment structures.

The FundAmerica Depositor will be able to direct their funds to a menu of aggregate funds for specific qualified programs, such as Infrastructure: High Tech, Brick and Mortar, and Utilities, Urban Renewal, Job Training and Placement, Higher Education, Low Income. Housing, Microfinance, Green Economy, Bio-Sphere and Medical R&D.

Up to $10,000 FundAmerica investors would participate in master limited partnerships (MLPs) that would aggregate and pass along the tax benefits. FundAmerica investors of more than $10,000 can go to their local banks and open a FundAmerica account. Getting to $2.5 trillion will be easier than raising $185.7 billion in 1944, as there is a much higher concentration of wealth, with 20% of Americans owning 85% of net worth.

With incentives, transparency, and a simple, basic financial reality set in, this will be the dawn of a new sustainable economic era. Let’s all tell the White House: ‘I want to invest in the United States.’