I don't know what her intent was in taking the photo. I doubt it was to promote a Christian theocracy, although I also have difficulty believing somebody willing to take a photo like that would be opposed to an American Christian theocracy, but who's to say.
What I find most interesting though is that the photo reflects a larger sentiment I've witnessed in American Christianity, particularly Protestantism: God is on our side. It's implicit, but it's there. Why else do you place a Bible and a flag together? The bizarre thing is that Christianity is completely antithetical to nationalism. Obviously, America isn't the only one that does this; it seems to be a human phenomenon more than an American one, but I find it intriguing nonetheless.
Now, the Old Testament? Well, that's the greatest nationalistic manifesto ever written. But not the New Testament.