While it sounds nice, the flaw in Chris's dream club is two-fold. 1) it assumes that the facility is free and 2) doesn't take into account the Owner. It sounds like a Semi-Private, non-equity membership but without the public play (which subsidizes the member by putting some cash into the owner's pocket).
In doing Pro-Formas for courses, you have to be able to make it on Fri-Sun play, Mon-Thurs is hopefully break-even. Perhaps this is Private Clubs have 36-holes. The incremental operational cost of the 2nd 18 is less than the benefit of twice the number of members. All your fixed overhead costs are the same for 18 or 36.
As for the ongoing debate over tee times, whoever mentioned what I call "the partial tee sheet" wins. It's the best of both worlds. Whether it's every other time blank or 1/3, 2/5 etc. depends on how the individual club operates. However, those who need the security of a tee time are served as are those who are more "spur-of-the-moment" guys. Plus, if you pack a tee sheet and things slow down, you have no wiggle room, but, with "Starter" times interspersed, things can get smoothed out rather easily.
Finally, Mucci's right about having skin in the game. However, instead of an "Initation Fee", I think referring to it as a "Share" is a better way of looking at it. Each new member buys a Share. He may sell it when he leaves, either to another, or back to the club (at - say 75% of the going rate). Letting the Course deteriorate is against ones interest as it will adversely effect the value of your Share.