Drew,
You made some outstanding points which I totally agree with. The early church did not have written NT scriptures like we do today.They were living the NT - not writing it down for us in a book like we have today. The actual writing of what we know as the NT came later, not as the events were taking place.
The early church had the OT scrolls but there was no NT bible. When the bible says all scripture is inspired - it was talking about the OT which contained words that were attributed to God directly, and prophecies for the future. The NT believers were told that those things (things that took place in the OT) were written down for them to teach, reprove and set things straight. With the things written in the OT, they could verify that Jesus was the Christ that was testified about long ago by the prophets, which is what the whole message was about.
The writers of the letters that today we call the NT had Holy Spirit but unlike the OT writers who claimed divine inspiration of all they wrote - (meaning every word) the NT writers do not make such a claim. They were eyewitnesses of Christ and wrote what they observed and witnessed so that people of later generations would believe. (that means us) But did not claim God told them exactly what to write down. The exception is the Apostle John who said that he was transported to heaven and given a vision explaining future events by the resurrected Christ. And he was told to write it down. He was therefore under divine inspiration at that time. Paul also expressed being taken to heaven and seeing a vision of the future paradise, he was given the interpretation of the vision too, so at that time you can say he was under divine inspiration.
But not all the NT letters made that claim. All these writers though they had Holy Spirit which meant they would not write anything contrary to the OT writers, simply wrote their witness of Christ and the happenings of the early church from their own personal perspecitves. That is why there is some slight variations in the texts and they wrote about the same events but from different angles. I personally feel these things are not discrepancies but add to the richness of the bible. They also wrote about what the future will hold for us by writing down what Christ had spoken to them. And they wrote about some simple guidelines the Christian church should follow if they are "in Christ" When Christ poured out Holy Spirit upon the church - the spirit would help them to recall all Jesus said so that they were able to make a fairly accurate record of it. But, not every word in the NT was dictated from God to the writers, the WT using the boss and secretary illustration is not correct. At least not correct in applying it to the NT.
And the importance for us is not to be able to interpret every line they wrote but to get an understanding of the full picture of the things they wrote about which is that Christ is with his church (by Holy Spirit) and will be until he comes again to establish his throne upon the earth. Until then we should encourage one another, love one another and upbuild the church for its future work.
You can read much into the bible and people have disagreed on what passages mean for centuries. This was the same in Paul's day as you brought out, he said they only had a "hazy mirror" of understanding. This is true for today too. We will not have the full understanding of everything written about God and Christ unitl Jesus comes again. Or, like the bible says "until that which is complete arrives". - Paul was referring to the second coming of Christ, not the arrival of the complete bible. This view of the WT is incorrect. because if it were true, why do we still have diagreements about scripture today if we have the complet bible? And we should not think we are supposed to at this time understand every word written.
Jesus told the Pharisees that they searched the scriptures (OT scriptures) daily because they thought that these words would save them. but, he said "you refuse to come to me to be saved". We need to go to Jesus and believe in him, put our full trust in him and he will empower us with his spirit and teach us what he wants us to learn. But we do not have to be able to interpret every letter of the bible. The main teacher for us is Holy Spirit not bible letters.
Faith, love, mercy - these things are more important than scripture knowlege.
So as far as the bible in its entirety being infallible - The things God spoke to Abraham, Noah, Moses, all the prophets, etc. did come true so here his word was infallible. But all the other information is open to interpretation and does not claim it is inspired or infallible therfore how can we try to make that call that it is or not infallible. This standard does not apply for the NT we have today.
I hope I made a little sense here? Lilly