What we've seen of Time in the show has suggested an organic-like system ("wounds in Time", etc) which makes it possible that the Time Lords and Daleks could be erased from history but leave "scar tissue" - little fragments and legends that linger after the wound has healed. These are apparent to higher races (like Jabe's people and the Time Agents) because they are already slightly detached from the "straight arrow" type of linear relationship most folk have with Time.
But if the Time Lords never exsisted, The Doctor should never have exsisted. And if all the things Gallifreyans did, were all undone, shouldn't the universe be a very different place, rather than the same old place with only a few changes?
I never thought they had...but I haven't seen this new season at all so I thought maybe more info had come to light about it.
The people on the Game Station during Parting of the Ways seemed to have some knowledge of the Daleks, but thought that they didn't exist.
Think they did, it's just after the war ended there was none of them left. So all people would have is old stories of them
The problem with that comes when the Doctor travels back in time. If it was like you suggest, then if he goes back to a point before the War, people would think the Time Lords and Daleks are still around. This doesn't seem to be the case. Gallifrey existed outside of Time (as per the classic series), so a battle there would, in a sense, be happening no matter what time period the rest of the universe is looking at it from. Therefore, the War is always already over, even if the Doc goes right back to a few moments after the Big Bang. Races that knew of the Time Lords before the War still retain that knowledge and remember them and the War, even though technically the War was finished long before those species even evolved. What we're seeing are paradoxes, time trying to scab itself over. As for the Doctor, I'm inclined to believe that Time needs him to exist more than it did Gallifrey - he's certainly saved the whole of creation more than the Time Lords ever did, erasing him from history could be far more devastating than wiping Gallifrey...
Bearing in mind that I've seen very little of this new Who (just a couple eps on the SciFi Channel) and know almost nothing of this "time war" and whatnot, is it possible that the destruction of Gallifrey is just a dodge? That it's all a ploy by the Time Lords to avoid their enemies for a while?
That's exactly the kind of shit the TLs would play on the Doctor, but then the new series seems to have established that only the Daleks would be an enemy worth hiding from and (until the return of the dumb Daleks in Evolution - yes! Give the hybrids weapons capable of destroying you!) the Daleks have indeed seemed a credible threat.