(Hey, I've got news for you...God already indeed runs a theocracy...He just doesn't rely upon any mere men to run it...And when He does elect to utilize men (plural) as a small part of that process, no solo man can take credit for that)
OK, I'll give you the less sophisticated version. Theo- = God. -cracy = Rules. Put together, "God rules." (I mean you don't yell @ teens who go 'round wearing "God rules!" t-shirts, do ya?)