Professor Mario Waissbluth of Chile wrote three blog posts
previously about Chile’s choice-based free-market schools (see
and here
and here).
Here he adds a fourth, summarizing the results of recent studies:

I wrote in this blog a 3-part sequence describing the Chilean
educational system, its consequences, proposing some ways to run
away from this malignant design. Recently, Universidad de Chile
published the results of a survey on adult literacy and numeracy
skills, following the exact methodology of SIALS, the Second
International Adult Literacy Survey published in
the survey data, it is shown that 15 years ago, 45% of young people
in the segment between 15 and 24 years, i.e., the generation that
was graduating or recently graduated from high school, had no
comprehension of language and arithmetic… whatsoever, not even
the ability to read and understand a very simple text or balance a
checkbook. Today, this same age segment shows, tragically and
exactly, the same results. With one of the highest high school
attendances in the world, we now find that these young people spent
12 years sitting passively at a desk, not achieving improvement
even in their most basic skills.
Even worse, in the segment of higher
education graduates, only 10% show adequate or complete
understanding of prose and numeracy, similar to what happened 15
years ago. This is the result of market system debauchery and
completely unregulated exploitation of students who pay and/or get
indebted to obtain these spurious titles. So far, only 20% of
higher education programs, most of them for-profit, have some sort
of voluntary accreditation.
This does not happen by chance, it
is the result of a market-based educational model, with extreme
segregation based on academic and socioeconomic skimming,
curricular overload, with students spending most of their time
training as parrots to answer standardized tests, with public
education and the teaching career virtually demolished.The basic
organizational and financial rules of our model do not exist
anywhere in the world and are full of perverse incentives.
  We’ve been
hearing self-congratulatory messages from succesive governments for
more than fifteen years, with some people even traveling around the
world to brag about the “chilean model”. This failed model ran its
course, and it seriously threatens the future of millions of
people, as well as chilean labor productivity (stagnant for more
than a decade) and its international competitiveness. Time to
accept and embrace failure and change course.