There actually exists in the USA an identical alternative school system for hareidim. It's partially funded at some level by the state, but mostly self funded. When the hareidim eventually outnumber secular, the state will not disintegrate into a neolithic system. A few examples: At present, there are a few independent hareidi hospitals (underfunded and under-resourced, admittedly, but functioning). Which other private groups have achieved this? Many hareidim refuse to use electricity on Sabbath and Festivals generated by installations that work on those days. So they built modern hi-tech generators for their needs. Unlike the description given a month or so back by Haaretz, these are state of the art operations serving many thousands of households. The Israeli electricity providers are now so worried about this use of democracy that they have begun moving towards sabbath-observant installations themselves.
At least 1,000 Israeli Arabs protest death of Palestinian infant in deadly West Bank arson (Haaretz)
from the article: The Sicarii of the Third Temple