I won't respond to the digital aspects of the original post, as that is not appropriate.

I can respond to the differences in color negative vs color reversal.

Color reversal has built in limits in the ability to capture the full range of 'dark to light' in a given scene, based on a dmin of about 0.2 and a dmax of about 3.0 and a contrast in the mid scale of about 1.7. It cannot correct color inaccuracies beyond a certain point and can only enhance sharpness and grain up to a point.

Color negative has built in capability to go beyond a dmax of 3.0 and the ability to capture a huge tonal range, far beyond that of any transparency material. It also has color masking built in to correct for color errors and it has DIR and DIAR couplers incorporated into the coating to enhance sharpness and grain. Therefore, color negative has the built in capacity to give the most accurate color over the longest range of 'light to dark' in a scene.

The transparency is built to exaggerate color in the original scene, while the negative film is built to accurately reproduce the color and tonality of the original scene.

In the final analysis, a transparency made from a negative embodies the highest form of rendition, photographically, of the original scene, as it can reproduce the original at a dmax up to 4.0 or 5.0, having none of the limitations of the transparency films, but unfortunately these print films no longer exist. It achieves this only through being a 2 step reproduction process with separate films and processes to achieve the optimum positive image.

In the final analysis, the proof comes from the fact that major motion pictures do not use reversal films, even though high quality reversal motion picture films exist. It is just that the negative equivalents are technically far superior as are the prints for the reasons given above.

Generally, people like looking at slides, as the tone scale of a paper print severly restricts the ability of the 'system' to appear to reproduce the original as well as a slide, not that the slide is tecnhically superior. Demostrations of prints, illuminated with high intensity lights next to slides projected on a screen illustrate this well showing that the print is as good or better than the projected slide.