To me, it sounds like this might be taken out of context or it was only part of a conversation the OP heard. I doubt any instructor would advocate such a practice. Instructors often will provide examples of unsafe diving practices in order to create a better understanding of diving, physics, physiology or even safe and unsafe diving practices themselves. I often present students with extremes to foster a better understanding of the topic that I'm trying to convey. As an example, I was trying to sucker two Triox students this past weekend into making a stage drop in a poor location to see if their smarts would override my "suggestion" once underwater. Anyone listening to me at the time would think that I advocated dropping stage bottles on the deck of a wreck rather than teaching to always carry them or to only drop stage/deco bottles in a secure location on the exit if absolutely necessary. A diver listening to me obviously did not approve. I felt compelled to explain the situation to that diver out of earshot of my students. Despite the OP's presence, I am sure the bounce dive wasn't advocated nor suggested and was part of a larger discussion.
Unfortunately we had an instructor up here in Puget Sound actually doing 200ft bounces on Al80s of air with his AOW students. ("accident' report is here somewhere). Bottom line... One diver didn't come back and Grateful among others were forceful enough with NAUI to get his instructor rating removed in less than a week.
Buyer beware, there really are instructors out there dumb enough and macho enough to actually propose an up and down bounces to stupid depths on air with completely inadeqate gas reserves.