The establishment "won" their side of the argument in many states -- states that richly compensated employees (the payscale in most NY school districts ends at $110k, plus 65% pension for life) and administrators (typical school superintendents make $175k in NY) and built lots of new schools. Yet those investments yielded marginal "value" at best.
Until recently, the critics were mostly focused on religion (ie. Catholic schooling dominated education in many areas until fairly recently), monetary issues (taxes) and ideological stuff (unions suck).
That seems to be changing now. Movements like the Khan Academy are bringing scientific methods focused on outcomes to education. There was a recent "Freakonomics" podcast talking about how the New York City school system is experimenting with multi-modal learning, which seems to be successful in its early stages.