Like I've said, the gif is exaggerated but not misleading. And the "distant" observer is you, looking at things in the room you're in.
Your GIF is misleading for two reasons: 1) it isn't grounded in how experiments comparing clocks are actually performed, and 2) it only depicts the special case of two clocks at fixed altitudes above the Earth.
Concerning point 1), instantaneous comparison of two clocks separated by
any nonzero distance is, strictly speaking, meaningless in relativity, and that's not what any experiment has ever done. The NIST optical clock experiment is reported in
a Science report. They don't give many details about how they compared the clock frequencies themselves, but they do say this about their setup:
The two Al[sup]+[/sup] optical clocks were located in separate laboratories and were compared by transmitting the stable clock signal through a 75-m length of phase-stabilized optical fiber.
So they didn't just dump two clocks next to each other and magically know that one of them was ticking slower than the other. It seems that what they
actually did was transmit the signal from one clock through an optical fibre so that a
local comparison could be made between the frequency of the second clock and the frequency at which it was receiving signals from the first clock. In other words, what they
actually measured was more akin to a relative gravitational Doppler shift.
Now, I hadn't read that paper before today. And yet, apart from saying "telescope" instead of "optical fibre", it's more or less what I [POST=3164543]told you[/POST] a couple of weeks ago:
You are confusing gravitational time dilation (a coordinate-dependent quantity) with two different quantities that are actually observable:
1) The apparent slowing of one clock as seen by a distant observer looking at it through a telescope (this is the relative Doppler shift factor).
2) The accumulated times shown on two clocks when they're brought side-by-side together for comparison. Simultaneity is only well defined for two events at the same place and at the same time in relativity, and the times shown on two clocks at the same place is the only invariant comparison that can be made.
These are what are actually measured in experiments. As far as what the theory has to say about them, the metric in Schwarzschild coordinates has the nice feature that it's static. This makes it very convenient for working out the Doppler shifts and accumulated times between two clocks if they spend a substantial amount of time at fixed Schwarzschild radii. This doesn't generalise, though.
Concerning point 2), you conveniently ignore that, according to general relativity, gravitational time dilation effects are predicted to largely disappear under free-fall conditions. You certainly can't challenge this on experimental grounds, because that experiment has never been performed.
Hopefully then you may come to appreciate that when it comes to GR, the expert is now me.
You've already admitted you are unable to derive measurable predictions, such as the perihelion advance of Mercury's orbit, from the theory. That
alone rules you out as an expert. It also means you've never subjected your "understanding" of general relativity to any sort of external verification.
General relativity has, as you well know, been tested in a number of experiments over the last century since it was originally proposed. The thing is, those experimental tests were only meaningful because, in each case, a theorist somewhere worked out what general relativity predicted about the situation so that a comparison could be made. Those theorists, able to make the predictions, are the real experts on general relativity, Farsight. Not you.