Earlier quoted context omitted.
You've described a system in which gifted and less gifted students are taught together with the express goal being for the gifted students to "raise up" their less gifted peers. If I've mistaken you and you did not suggest that, please accept my deepest apologies for the mistake. You're absolutely right that every student is a unique individual. You want to teach students individually. One of the drawbacks of this is…
A combination of classes shared regardless of academic performance along with opportunities for students to be challenged up to their level would be a good start. In my day to day career and personal life I am not intellectually challenged at all times, I think it's valuable if school emulates this experience. I think it's important that students don't get placed in echo chambers where they begin to think that everyo…
The best known solution that I'm familiar with is to allow independent study work. Larger schools also allow for more coursework offerings, enabling far more than just two sets of courses.
I'm sure you won't be on board with this, because it's de facto segregation. It's an option that can be done today and is better able to offer appropriate challenges to students of all abilities.
I will take an option that serves the goal I consider of overriding importance over an uncertain rejection of a known solution with no other options on the table. I am hesitant to trade-off this primary goal via rejection of known methods to advance it in the interest of... let's go with the euphemism "encouraging peer instruction".