Regular captain Pat Cummins was named in the Australia squad on Wednesday for the third Ashes Test against England, a strong indication that the inspirational fast bowler will see his first action of the series in Adelaide next week.
Panesar believes Lyon is a better bowler than Ashwin because of the dominance he has imposed in Australia, where spinners struggle to find assistance from the pitch.
t Pat Cummins' side firmly on top of the WTC standings, with a perfect record after six matches in the current cycle.
With the Ashes urn in their hands, Australia decided to rule Cummins out of the two remaining Tests.
Australia may opt to continue with a four-prong pace attack at Adelaide and even add another part-time seamer in all-rounder Beau Webster, who could replace batter Josh Inglis in the lower middle order.
Australia head coach and selector Andrew McDonald has confirmed Usman Khawaja will play in the fifth Ashes Test against England at the Sydney Cricket Ground amid media speculation it could be his last international.
'It has been amazing to compete against you but also learn off you. So mate, congratulations and plenty more to come.'
Starc reached his second fifty of the series in 73 balls, striking eight fours, before England finally struck back. Archer ended Lyon's resistance, trapping him plumb in front for 9, and Australia were soon bowled out for 371 in 91.2 overs.
England opener Zak Crawley said Australia had shown why they were favourites coming into the Ashes after a tough day four at Adelaide Oval left the tourists staring down the barrel of a series defeat on Saturday.
Pat Cummins, Mitchell Starc, Josh Hazlewood and spinner Nathan Lyon made history on Friday as they became the first bowling quartet in Test history to take 500 Test wickets while playing together.
Nathan Lyon has already started his homework on rising batting sensation Yashasvi Jaiswal
'I think it's a huge credit to (head coach) Andrew McDonald, the coaching staff and the medical staff that we feel like we've got a big squad that we can draw on.'
"I think he (Shami) will be a major miss for India, given the Australian conditions. The pace and bouncy wickets in Australia would have helped India in gaining an upper hand if Shami had been in the squad but that's not in the selector's hand as he is recovering, but I think he will be missed," Adams said.
Paceman Josh Hazlewood has brushed off worries about Australia's ageing attack for the Ashes, saying he personally feels as good as he has in a long time and that the unit's experience of bowling together is a major advantage for the team.
'It was probably one of the best barbecues I've seen, to be honest with you. It came out of the blue'
The Ashes could be decided within days at an Adelaide Oval furnace where England's hopes of wresting back the urn will fire anew or flame out entirely against a strengthened Australia.
With the pitch a spinner's paradise, Nathan Lyon stood up and rallied his team back into contention.
IMAGES from Day 5 of the 3rd Ashes Test in Adelaide on Sunday.
Kevin Pietersen criticises England after their Ashes loss in Adelaide
'They're those little moments as a squad that I think have got us across the line to four wins this series.'
Triumphant Australia will bid farewell to Usman Khawaja as England look to recover another few scraps of pride when the Ashes series comes to a conclusion with the fifth Test in Sydney from Sunday.
Opening batter Jake Weatherald and pace bowler Brendan Doggett will make their Test debuts for Australia in the first Ashes Test against England in Perth on Friday.
Aston Villa secured a 2-1 victory at Basel on Thursday, with goals from Evann Guessand and Youri Tielemans keeping their Europa League campaign on a strong footing.
'We could play a couple of all-rounders. Could play a spinner. Could play no spinner. We'll figure it out.'
Steve Smith returns to action in the Boxing Day Test against England as Australia opted to include four fast bowlers in their 12-man squad.
Nathan Lyon has identified Rohit Sharma, Virat Kohli, and Rishabh Pant as the three "big ones" to watch out for in the upcoming Border-Gavaskar Trophy Test series.
Australia's selectors chairman George Bailey defended sticking with the Test side's veteran core for the Ashes on Wednesday following criticism from former captain Steve Waugh about the team's ageing profile.
An Ashes tour that began with high hopes of taking home the urn has been reduced to a desperate effort to salvage some last vestiges of dignity for England.
Khawaja pulled no punches, taking aim at former players and sections of the media over what he described as blatant double standards
'It's a moment I'll never forget, having my family there.'
England need to alter their approach if they hope to claw their way back after their disastrous start to the Ashes series and avoid another drubbing, former Australia paceman Mitchell Johnson said.
Cummins has been sidelined with a lumbar stress injury since Australia swept West Indies in the Caribbean in July.
Scott Boland will step up and uncapped Brendan Doggett is tipped for a high-stakes debut to try to shore up the loss of a combined 604 Test wickets of experience.
Never thought I would be back in India in million years, this feels surreal: Harmer
The Perth Stadium curator has promised the wicket will be green, fast and bouncy but Stokes offered no thoughts on whether England would attack with four quicks or pick the specialist spinner, Shoaib Bashir, in their 11.
It was a wild ride while it lasted but the 'Bazball' revolution that enlivened English cricket for three years collapsed in 11 days on Australian soil in an Ashes defeat as harrowing as any in the modern era.
England's Joe Root conquered his final frontier with a first Ashes century in Australia as the tourists pushed past 300 on day one of the second Test in Brisbane on Thursday despite a six-wicket haul from pace spearhead Mitchell Starc.
'That so many have reached such an advanced stage of their careers without obvious replacements is certainly a reflection of their quality, but will be a matter of concern in the case of more injuries during the series.'
The overwhelmingly bowler-friendly Melbourne pitch on which 20 wickets fell on Day 1 of the Boxing Day Test has prompted Kevin Pietersen and Dinesh Kartik to point out the selective criticism of Indian tracks when spinners get wickets in a heap.
Celebrated Indian spin maestros Anil Kumble and Ravichandran Ashwin showered praise upon Lyon.