That's not what will happen, though. What'll happen is you'll get big players owning most the schools, all teaching the same way and same stuff (and if there's no oversight, they can also teach anything, even creationism). Capitalism won't allow this to happen.
> Even with larger schools and bus routes, the solution is to create hubs where you can get off one one bus and hop on the one that goes to your school.
This sounds awful, and absolutely won't work for rural areas. I worked at a school where we already had kids on the bus for two hours each way. They had to wake up before 5 sometimes to prep for school. Imagine expanding this so kids can get to their hub and then to another school. That sounds awful.
Really, the only ones who benefit from this system, still, are those who's parents are already borderline being able to send them to private schools or move. It doesn't help the lower socioeconomic groups at all, and, again, will make things worse for them.