Yes, this. I have watched the educational system from the inside locally for the past 10+ years, and this is a big part (only a part) of the issue. If we are talking about an implosion and ground-up rebuild, please make this a central theme of the redesign. Sorry, everyone is NOT equal - in ability, or in what they like, find interesting, or want to do with their life. Should everyone have ample opportunity to PROVE they are motivated? Yes. Should everyone be automatically "equal" so that we have to dumb-down (or at least slow down) the material for the other 80%? No. Please.
Kids should be allowed to fail. Plain and simple. We need to go back to teaching (and enforcing) that motivation leads to success. The current system just reinforces the "safety net" mentality that has pervaded society at large. No need to achieve, someone (Uncle Sam usually) will "save me". No, really its ME and the other achievers "Saving you" at our own expense.
Kids need to be challenged. Some kids need extra help, or slower pace. These things are generally mutually exclusive in the classroom. (on an ongoing basis anyway, not a single example)