I think that PADI and NAUI should be applauded for embracing contemporary educational techniques. Between diving and my profession, I've taken many, many hours of instruction in both traditional classroom settings as well as via DVD, Computer-assisted instruction, Web Lectures and video conferencing, etc. I feel that the bottom line here is to let the student choose a learning method that meets his or her needs with regard to instructor input, time and travel constraints, money, etc.
That being said, I'm glad that I had lots of hand's-on instruction in my Rescue course, which I think lends itself to a more interactive approach, (versus the DM course, which I did primarily through independent study.)
I like having choices, and leaving the final choice as to whether to certify a student up to the certifying instructor. As long as both student and instructor allow for correction of problems and some remedial review, this approach seems to be a win-win situation for the student and instructor (and, for that matter, the LDS.)...