But the fact remains that a team like Atletico Madrid will never get a sniff of an ECL trophy because to do so they would have to get past Barca and Real, which they will never have the resources to do consistently. There is too much disparity there. The only way a team of that caliber -- an Atletico, Dortmund, or Sevilla, say -- can compete is when they manage to assemble some hidden gems under the radar and get a great manager in. That was Dortmund last year, and maybe Atletico this year. The problem is that they simply do not have the resources to sustain that team; once they reach a certain height, the players and managers get poached (Lewandoski, Goetze --> Munich), which puts them back to square one. These teams should be applauded for what they achieve, but there is a limit to the number of hidden gems you can bring in on the cheap, so decline is inevitable (look at what's happened to Sevilla or Villarreal since the mid-2000s).
This is why the EPL should be stronger than La Liga. The 6th or 7th placed teams can typically poach the best players from any Spanish team except Barca or Real (Soldado, someone like Costa may well end up at Spurs this summer). You are right that "other leagues have more clubs capable of beating the top teams in Europe" this year, but those teams come and go very quickly.
"which is evident by the number of Spanish and German teams that keep advancing into the later stages of the UCL."
The fact that in the last 9 seasons, there have been 14 English semifinalists compared to 11 Spanish, 5 German, and 4 Italian suggests to me that the EPL actually has a better record in that regard. Moreover, there have been 4 different English finalists over that period, compared to two Germans, two Italians and ONE Spanish. This goes to what I'm trying to say about how the chances of an English team being around the top, given the vicissitudes of footballing fortune, are substantially better than those of any other country. Talent accumulates in England, and this is borne out by the results in Europe.
I could not agree more that what Barcelona has achieved is unparalleled in the history of soccer. But in some ways I think this supports my argument. Barca is one of the few teams who can compete financially with English clubs, and they have amassed some of the best talent ever in the last decade. However, the fact that they are the only team Spain has managed to send to the ECL final in well over a decade means that the rest of the league (bar Madrid) simply cannot compete at that level. This Barca side cannot go on forever. Xavi is on his last legs; one day Iniesta and Messi will have to retire. There will be no one to step up until they can rebuild, which will take a few years. The Barca of 2008-2014 was unique and won't be replicated. They have carried La Liga but cannot do so indefinitely.
I totally agree that debt-free youth development would be ideal, but I'm not sure that Spanish clubs are better off financially. For starters, raw debt statistics are probably misleading because they are massively skewed by the likes of Chelsea and Man City, who show loads of debt, but whose debt is really owned by their sugar-daddy's. In general, the EPL generates more than one billion euros more in revenue than the Bundesliga (in second), and those two league's are the only two whose clubs operate with a net profit. Revenue streams in the EPL make debt relatively sustainable. Meanwhile, wages alone absorb 77% of revenue for La Liga teams other than Madrid/Barca. http://www.deloitte.com/assets/Dcom-UnitedKingdom/Local%20Assets/Documents/Industries/Sports%20Business%20Group/deloitte-uk-sbg-arff-2013-highlights-download.pdf
Revenue sharing probably helps.
Anyway, changing the topic slightly, predictions for this year? I fancy Madrid myself.
Guardiola was wrong to choose Bayern -- this can only end in failure for him after their successes last year.