Yup, I got that. The reason I suggested you stick a dowel thru the needle bearing in the forward gear is so that you can feel if the shift shaft excentric is able to push the dowel in and out. If it can it should be able to push the pin in the end of the propshaft in and out and move the clutch dog. I was just trying to have you avoid having to take the pinion off if you did not have to. They can be finicky to get back on. You are on the right track with the inertia and tapping the pinion against the housing. I just wanted to make sure everything was out of the way before you did that.

If it does have to come off you are going to have to find a way to apply more inertia to the problem. like a slide hammer set up. Since there is nothing on the driveshaft to "hammer" against you would have to attach something without damaging the drive shaft. How you do that is up to you. Vice grips will not work they will just slide up the shaft. A 2 piece collar that you can bolt around the shaft for the slide hammer (or piece of pipe) to hit against has worked for me in the past. Bear in mind the parts you are playing with are no longer available.
The pin in the end of the drive shaft should be spring loaded and you should be able to move the clutch dog back and forth by pushing in the pin. If you can.t you have found your problem.