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I agree with watching films as a first and foremost film school. That's what Sarah did and I'm mostly responsible for bombarding her with film from an early age. However, when my daughter makes it her dream to go to USC Film School, which is more difficult to get into than Harvard Law School, my wife and I are going to go into debt to make her dream come true. She certainly shows signs of talent. I tried to dissuade her at first to keep her heart from getting broken, but damned if she didn't get in.
Anyway, I posted this quote from Werner Herzog a year or two back, so many of you are new and may not have seen it.
"Actually, for some time now I have given some thought to opening a film school. But if I did start one up you would only be allowed to fill out an application form after you have walked alone on foot, let's say from Madrid to Kiev, a distance of about five thousand kilometers. While walking, write. Write about your experiences and give me your notebooks. I would be able to tell who had really walked the distance and who had not. While you are walking you would learn much more about filmmaking and what it truly involves than you ever would sitting in a classroom. During your voyage you will learn more about what your future holds than in five years at film school. Your experiences would be the very opposite of academic knowledge, for academia is the death of cinema. It is the very opposite of passion."
Predictably, Herzog is now running what amounts to film seminars where he hits up attendees for thousands of dollars. It's still a good quote though, and he's probably a legit teacher.