I definitely understand where the author of this thread is coming from.
I was myself trained the exact same way in a school of music in Bulgaria and in conservatories in France.
Personally I think the problem with such method in the USA can be summarized to a few points:
-kids in the USA are involved in way too many activities. Generally because parents want them to "experience" everything.
- in the USA, from every level of school up to University, the art of music and performance is not the priority.
- kids and parents want to have fun, instead of aiming for a higher goal.
Personally, I am also a tough teacher, and I do use similar methods to what I was taught with my older students. And with my older students we can work more about musicality, technique and other artistic issues.
With my younger ones, I do combine that with friendly communication. Asking the student how was school, how was the day. Giving high 5, stickers and what not.
I also do teach theory during the lesson. Generally I make them do theory during the lesson for about 10-15 minutes. Then go to the pages assigned in the lesson book and performance book.