Been watching and reading this thread with interest and it sure has taken a turn for the better. Thank you Troy for your insight and your comments. One last thought from another small market, mediocre bassist.
Just to echo Damon R; We all are essentially self taught to some degree. As a teacher it was my job to direct and mentor students, not study for them. Anyone who did well in any of the classes I facilitated (taught), did so because of the time they spent on their own actually working through the material and assignments.
In music, those solitary hours, spent alone, working on technique, exercises, ear training and transcription, as well as many other musical endeavors is, in effect, self teaching. A teacher can point you in a direction and help you along the way but he cannot do all the hard work that's necessary to be even mediocre.
In my view, a degree means that you've jumped through a certain amount of hoops; no more no less. Some guys come out of academia as great players, some are developing along a solid musical path and some just come out with a degree. It's really all about personal dedication.
Just to wrap this up; even though others can show you the way. You are the only one that will determine what you gain and/or take away from any and all teachers, mentors and schools. In effect, you end up teaching yourself by grasping what others have indicated that you should know in order to be, at the very least, competent. However, at least for me, if someone chooses to go it alone and not seek out good mentors, teachers and/or schools, that person will have a much harder road to travel.