Note we are referring to Satoshi's PoW below...
No you are incorrect. It requires greater than 50% to stall the blockchain by censoring all transactions.
The whitepaper claims the opposite, if you want to argue - argue with the authors.
No it doesn't. You don't understand the whitepaper.
The 33% attacker doesn't win every block (can't always create the longest chain). He only wins more block rewards than his 33% share.
It is an asymmetrical statistical advantage against those with less than 33% control, not absolute control.