@boomerang,
OK.
Well, I think they can definitely be done badly.
I loved it and I think it was good for me in a lot of ways. People tend to think "oh the smart kids will be fine whatever, just leave 'em and focus on the other kids." I liked school fine but liked it much more when I had stuff that was really challenging, and also liked socially being in a situation where being smart was not a negative. And it is a negative in so many ways. (I'm loath to say that sozlet is in gifted programs for example, realized that after I posted my last response with the neutral "familiar.")
In sozlet's case (since I'm admitting that now), I also think it's really helpful for her. It's pretty short time-wise -- she has three separate classes that are half an hour each, once a week. So an hour and a half out of one day for her, other kids have some combination (just one for 30", or two for 1', or all three for 1.5') (the classes are by content area, rather than a more general "gifted" class which is what I had).
She seems to love both the challenge (I mentioned her skating tendencies -- spelling lists that are a challenge for many of her classmates are a no-brainer for her, etc.) and like the same social stuff that I talked about.
As a general concept I want her to have a work ethic -- not just think everything is easy (and should be easy) because the baseline curriculum is easy for her. I think it's important to have to work for accomplishments, both to establish good work habits and to feel the satisfaction of an accomplishment that is really earned.
There is stuff that happens within the classroom too as part of the program. Basically the point is to keep her challenged.
This is while there are also significant resources allocated to a kid with special needs in her class, autism spectrum I think.
As in, as far as I can tell, there isn't anything inherently bad about gifted programs. It can be done, and can be done well.
I'm sure it can, and is, done badly too, though.