Anything that can be done in school (to use the time more wisely) is best (or at least better than having to do it at home). If they allow the physics course and Ghost plows through it, have another lined up for after that. I think it's a reasonable solution for the current problem and to address his needs better.
You are lucky he has a couple good courses (History and Math). I really thought the ultimate school for very bright kids would be a hybrid--some core classes with teacher/student interaction & discussion, some online courses, and maybe running to the university for the first or last period of the day. I know that's happening in other places, but it hasn't hit this town yet. It would be wonderful if your school started doing that and found how effective it could be (schools are often worried about cost and online courses are actually very low cost compared with another teacher's salary/benefits, if they had to provide advanced programming in "real life").
My son's most challenging class is his only non-honors class: French. He loves it and the teacher is widely thought to be the best teacher in the school. Everyone tells me that "next year will be harder"--as though that's a remedy or consolation for this year. I think my DS will ultimately be fine--he's made the choice to stay at the school (even when offered the fancy preps or homeschool), he has friends, he likes golf and French Club and the MESA club. He needs to grow up before going off to college, so it's ok. He'll go to a summer institute and be around smart, driven kids. I cannot kill myself with worry anymore (easier said than done) and have to try to be more supportive rather than disgusted, freaked out, panicked.
Sometimes I feel I'm on a mission: there are these precious resources (the really bright kids) that are potentially vital to our future, business, research, security...and I'm fighting the insidious forces trying to exterminate them (maybe too much action tv?). Secret agent mom...
Ania, don't quit advocating--I admire you and all the people on this board for supporting your precious kiddos.