I think organizations make that kind of choice all the time. They take fantastic devs and make them leads and managers in the hope that it will have a multiplicative benefit on the business.
And they do devote resources to test - but by hiring testers. It might be great if a company could devote some of its devs to test, but I suspect the reason that they wouldn't is that the devs wouldn't want to.
I take the point about integrating Test and Dev, and probably it would need to lead by example from the Test side...
:) I do also take your point about what actually happens in the real world. This is the kind of response I was expecting - it's super helpful to see it articulated.