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As far as parents knowing the material: The homeschooling parents I know learned the material and then taught it to the kids. They would also pool resources - if someone was an English major, they would teach all the kids English, Science major, same thing.
If you talk to teachers in many public school, they didn't major in the subject they're teaching, they majored in education. They learned the subject before they taught it. Homeschooling parents do the same thing.
It's not for every kid, it's not for every parent but it's certainly a very viable option.
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