I wonder if the person in the quote would have been embarrassed by Shakespeare, Archimedes, Gauss, Euler, Newton, Darwin, etc? (That list could go on for a very long time.)
You over-estimate the value of education. But if we take your point you must concede that adult literacy is at an all time high and that everyone in this country qualifies for a pretty decent education (whether they want it or not).
Knowledge and intelligence are two separate, but closely related, concepts. Knowledge is 'possession of the facts'. Intelligence is the ability to do something with those facts. For the vast majority of jobs in our modern technological society you can get by with knowledge. If you want to join the list in the first paragraph you will need knowledge, intelligence, diligence and (more than a little) luck.
I'm optimistic about the future. Human nature doesn't change that much in short time periods and I think the generation to come will contain the same percentage of knob-heads and wise men (and women) as the ones that precede us.