To make things worse, if you pretend that PAL (interlaced) has 1:1 pixels, you get a 5:4 display ratio, but PAL is also 4:3 and the "pixels" are not 1:1

There are, however, quite a few native 1280x1024 LCD/TFT monitors that indeed are 5:4.
I always found it a bit strange that Indivision and other flicker fixers cannot just double 640x512 to a native 1280x1024 :p