With today's technology, every college course can be on a DVD. People can study at their own pace and take tests at testing centers that require ID. College is great for the partying, coeds, networking, but a complete waste of time and money otherwise. Same for Public School K-12. Classroom time is a complete waste of time.
With all of the complaints about sexual assaults on college and university campi, there is more than just the economic part to make DVD's and internet study the new standard.
The social aspect and competition are just as important; DVD's and internet research is important and very useful, sure, but interacting with others at young ages is just as important to growing up and maturation emotionally. I agree the current school systems are major failures, but that is entirely due to how these schools are administered, and that can be changed. In the meantime, yes, what you say is probably the best alternative in the meantime. The home-schooling curriculum for the younger grade levels is very reasonably priced to boot, compared to the rip offs public school costs are; it's a matter of how much time parents have to available to spend on it. Failing that, people can organize their own groups and divide the time up among several parents, meeting in each other's houses or the local libraries or City halls for that matter a time or two a week. There are a lot of options and flexibility here for those committed to it. As for the parents who don't give a crap, nothing can be done about that currently, nothing pleasant, anyway. Nothing is going to be 100%, never is and never will be.