I have been thinking about EPR for thrust setting since reading the Swift Air accident report. It is not the only accident I can instantly think of where inlet probe icing led to incorrect thrust limiting and setting (Air Florida comes instantly to mind) and I believe that Boeing removed EPR from the 737 in favour of N1 for precisely that reason.
I donīt think Boeing "removed EPR" from the 737 Classic. Rather they chose an engine, CFM56 that used N1 as primary power parameter in line with GE philosophy. The CFM56 predates the 737 Classic by almost 10 years.