I guess the point is Liverpool are a top side, they should be challenging with the squad they have. Why is anyone acting surprised that they are firstly? It's not some massive mistake by City that Liverpool are in with a shot. It's not normal for teams to win as much as these two teams do in the PL. They still gave away a lead at the start of the season themselves after City's tougher start, as did Chelsea. So I'm not having it that they don't have it in them to drop points themselves, they've shown it, I've seen it.
Secondly, people are doing themselves no favours building Liverpool up beyond what they need to do. You might think things are perfect over there for them right now but they'll have their own flappers pulling their hair out, saying they weren't good enough tonight. The grass isn't always greener on the other side.
It's true that not everything is perfect at City, we should have bought a striker two seasons ago but it didn't happen for various reasons(availability, FFP, cost etc). The other way of looking at it is, what we are doing without any strikers or any 20+ goals a season forwards is really quite incredible. We won the league once already that way and are still in with a very good chance of winning it back to back. If we sharpen up a little and start being more ruthless(and the gap being closed might be enough to do that) then I think we will do it, which would be even more incredible. It's still in our hands. Think of what an achievement it will be if we win the league in these circumstances against this "incredible Liverpool team" with all those scoring options, more than what a "failure" it would be if we don't.