I probably take a middle road -- with one simple guiding concept:
Actions have consequences
The lack of THAT concept, it seems to me, accounts for a huge portion of our cultural decline. It can explain the epidemic of whining and victimhood ("itas always someone elses fault" -- in life as in the MA), the failure of education (kids dont see the connection between studying and life outcomes), and the increases in crime/STDs/teen preganancy, etc.
In my job I've seen the inner workings of a lot of families, and the outcomes of a lot of parenting styles -- and its broadened my attitudes, cause a lot of different things work. The one thing all the effective styles seem to have in common is the predictable expectation that if the kid does X, the outcdome will be Y. Consistantly. Every time.
If you use time outs, they can work. If you use withdrawing/earning privileges, that can work. If you use rewards for reaching behavior goals, that can work. Its just gotta be done consistantly -- and proportionately.
Proportionality is vital, to give the kid a sense of not just predictability, but also justice. For Christians, justice is a feature of God's very character; as parents, we ahve to remember that for concrete thinking children WE are their first image of the nature of God. (He doesnt call himself Father without deliberate intention.) As a father, if I'm angry, vengeful, and unpredictable -- I'm giving my kids a distorted image of the God I want to serve, and they may carry that for life.
Corporal punishment (not corporal the rank, but corporal referring to the body, from "corpus") can work, but it has some dangers. First, for many parents it carries a temptation to both punish the kid's behavior AND to let some parental frustrations express themselves, resulting in whacks out of proportion to the offense. THose who spank should NEVER do so until the parent has calmed enough to have full control. Second, if its the only bullet in your gun, it is very hard to keep the punishment proportional to minor problems that none the less require correction.
In the end, the inner attitudes are more important for life than a given behavior -- and its appropriate to discipline those too. If you only focus on the action, you can end up with an outwardly obediant kid whose heart is prone to rebellion, or to an Enron type "morality" -- its wrong when you get caught, its ok if you get away with it.
And, our attitudes toward our own behavior are important. When I lose my temper, I apologize for my actions, adn hold myself accountable to my family. No doubel standard, because kids (esp teens) have hypocrisy radar that can invalidate all your word in a flash/.
My kids are 14 and 16. We primarily used the action/consequence method, focusing on losing desired privileges for misbehavior. One child had a tendency towards mouthing off that that kid ran a string of "lost soda till you can be civil for a week" out into the months. We used some spanking, but required it very rarely. As they grew up, we shifted the privileges involved to keep them relevant. In the early teen years, one kid had problems cooperating with school stuff -- and after discussing the issue, parents and the kid wrote up a "contract" with expectations and outcomes we both found reasonable. The problem resolved.
This approach -- and the built in emphasis on fairness, inward attitudes, and communication -- has reaped great rewards for us. My teens have had essentially none of the rebellion issues that are supposed to be part of the age. My wife and daughter are simply best friends, and can talk about anything. When the oldest had questions about her faith, she felt comfortable coming to me and asking "how do you know there's a God, and what about all this...." We could discuss those issues -- that some believing parents find threatening or scary -- straight up, and she came to her own decisions based on what she saw as just and true. Both kids come to talk about anything, from world events to what a particular cuss word means.
Ours obviuosly isnt the only way, but its based on solid (and for those who care -- Biblical) principles. And it worked great for us.