An excellent analysis of cricket history. And I would agree with a lot of things that you have to say but I think there is some difference in the way things are being perceived here in the sense that you define the number 1 team to be the absolute dominant team of that era. Like the Windies 70s-80s and Aussies 97-07. However, to be the best team there does not necessarily have to be day light between one team and the rest.
It can be like what happens in a class room. All subjects considered the top student gets 90/100. The second place student gets 88/100 and so on..........
So while India may not be the kind of student like West Indies (or Australia) who got 95 and the second place student was only able to score 55 but they may still score 75 while the others are at 73 and 72 etc.
That analysis for attaining number 1 in cricket is not correct.
In its more like this. This very rigid exam, you have to score 90 out of 100 to be the # 1 (prove you can win home & away fairly consistently). Any students falling short of that, will have to write over the exam until they reach that 90 mark (failing to win in a specific country)
Even if one looks at those past great teams. Using the premise that you have to win home & away againts everyone to be the # 1. Only WI 76-91 & AUS 95-2006/07 had real daylight betweem themselves & the rest & won everywhere home & away (although WI of that period tecnhincally didnt win in NZ. But everyone except they were robbed in NZ 1980 to poor umpiring, while they drew in NZ 86/87, but overall this means nothing)
Look at ENG 1951-1958 for example. They where the best yea, but it wasn't daylight betweem themseleves & their competition. They won two very close Ashes series. While drawing in WI 53/54 2-2 (which was like playing India of the 90s of the time facing two quality spinners in Valentine/Ramadin on flat turning wickets & having to bowl againts a legendary middle-order in Weeks/Walcott/Worrell). Drawing in SA 56/57 againts a strong SA bowling side of Adcock/Heine/Tayfield. So they weren't faultless but did enough to be considered the clear best team by everyone who played againts them.
# 1 in cricket is special accolade that has to be
earnt based on performances over a long period of time after you have proven you can/have the ability to win home & away fairly consistently. It is not to be thrown around losely to any team like IND currently who have not done the above, but just have been playing consistent test cricket.
Since AUS lost their # 1 ranking at the end of the 2006/07 Ashes (although the flawed ranking system didn't take it from them until they lost @ home to SA 08/09). Since 2007 both India & South Africa have won 9 of the 13/14 series they have played in:
Cricket Records | Records | India | Test matches | Series results | Cricinfo.com
Cricket Records | Records | South Africa | Test matches | Series results | Cricinfo.com
So what we have is India & SA being the two more consistent teams in test cricket since AUS decline. But none of them should be called number # 1 because they have failed to show they can win everywhere. SA slipped up in India twice (2008 & 2010) & lost to AUS @ home), which is why the lost their # 1 ranking. While IND have yet to win away to full-stenght SA, ENG, AUS sides.
Until some team proves superiority. We will have & will continue to have as it has been the case in post war test history at the end of any of the previous great teams # 1. A jostling match until a # 1 occurs. AFAIC it would be good for test cricket if no such # 1 occurs again for a while, since that would mean overall test cricket will be very competitive.