On a national level, direct democracy probably wouldnt fly too well. The average person doesnt know any more about plolitics than what CNN/MSNBC/FOX tells them. They havent had any in-depth study of political issues for the most part. However, on a local level, direct democracy would work well, as it has proven in the past. The average person knows a lot more about local issues because they are not very far removed from them like they can be on national issues (foreign affairs/trade/etc). Some of the first settlements in this country had some sort of direct democracy/town hall governing structure if i'm correct. (Dont fry me on that one, but i'd have to look it up)
All that bieng said, every technology has its problems. I"m assuming that you propose some sort of IT/Web-based voting system maybe? It is possible to implement those, but if something goes wrong, the logistics would be a nightmare. There are also security issues on that. You have a good idea though. Its at least worth looking into.