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Music rights have likely killed any chance this series has of ever coming out in any complete form
Sixty-two complete episodes have been releaesed on DVD over 31 volumes (two per volume), first by Columbia House and the re-released by Guthy-Renker. Just be aware, they are pricey: $20 or so each (beyond the cut-price initial volume). So, the above statement isn't 100% correct. You'll never see complete seasons (let alone all of the episodes) in brick and mortar stores, but you can buy volumes of some complete episodes by mail order/direct marketing.
Before you complain at the high price there is a reason these are $20 each: it is those expensive music rights. Carol worked out a special arrangement with the musicians in the Peter Matz Orchestra (the 'house band' on the show), who accepted, one would assume, reduced royalties.
So, royalties presumably had to be paid to all the musicians and probably the composers of the songs, too. You want complete episodes, they're going to cost more than a buck or two apiece. This is why there are no retail sets: you'd never get the per-episode cost down to a price that the average person would be willing to pay ($100 or more a season in-store: they'd be luck to sell more than a couple in today's DVD marketplace).
If you want uncut episodes, I'd suggest subscribing to the Guthy-Renker ones. I bought all 31 volumes back when Columbia House had it and, considering it's the only option available, am pleased with them.
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Carol has also publicly stated that she thinks the earlier seasons of the show are of lesser quality than the later seasons
That's been the official "line" for years (also quoted by Harvey Korman), but I think the truth probably has a bit more to do with the fact that one of Carol's ex-husbands has co-ownership of those earlier seasons and they went through a bitter divorce. Maybe she doesn't want him earning any residuals, maybe the two sides can't agree to terms, but that's probably the big reason those seasons weren't even represented in the Carol Burnett & Friends syndication package. All you ever see of the early years are clips.
Another possible reason for those episodes not getting released is that a totally different house orchestra was used in those seasons, conducted by Herman Zimmerman. Likely, they'd have had to work out separate arrangements with those musicians if they released earlier episodes, so with that mess and the co-ownership mess of the earlier seasons, it was probably just easier to restrict the Columbia House/GR releases to 1972-forward.
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they certainly are not going to restore it for Blu-ray, if that's even possible.
since this show was shot on videotape, then no, it most cerainly will not be "restored" to BluRay, because you cannot get any better resolution out of the master tapes than already exists in the specification for DVD. The only advantage to putting it on Blu-Ray would be that you could cram more episodes on fewer discs and maybe some reduction in compression artifacts, but certainly, no chance of any increased resolution.