Well, I think that the theme of progress fits best in Epcot. MK's Tomorrowland is not about the practicalities of tomorrow, it's about sci-fi. Epcot's Future World is EXACTLY what Carousel of Progress is all about, is it not? So it would fit best there.
Ideally I would like to see a move to Epcot that involved a new version of the ride. Update that last scene or perhaps find a way to add in a 1960s-1980s scene or something. A new home might also mean better care. WDW management is horrible at keeping up their attractions, and CoP has suffered.
I remember reading a while ago somewhere there was a blue sky plan to create a walk-through attraction based on CoP at Epcot. But this is WDW and it sometimes takes forever to do something.
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