All kidding aside, I do agree with your viewpoint. He just made it absurd. Children should not be sleeping with their parents though (unless certain situations like nightmares and not feeling well). Mine didn't, and not from lack of trying from them.
I think what he is trying to state is that children need discipline and boundries. They need to respect their elders, they need to learn problem solving techniques and they need to use old fashion ways of entertainment.