The point of having an Earth is that, if a fault in equipment provides a path to an exposed part from the live side then the exposed part will be maintained at zero potential - protecting you from getting a shock.
The Earth only needs to operate 'locally' as that the only thing that counts is the PD between you and the metal that you happen to be touching. Keep that at zero and you are safe. Most supply systems have a Live supply wire, which is at the nominal supply volts, and a Neutral wire. This is held near Earth potential with a connection to an Earth, somewhere in the distribution system. Depending on the details of the supply, the conductivity of the soil, whether or not the supply has its own Earth conductor and the load balance between phases in some distribution systems, the Neutral can be several volts away from Earth.
If the resistance path through the exposed, live, metal part is low enough to pass a high current (and you can't rely on that, always) then a fuse will blow and isolate the problem. Many faults will pass a few hundred milliAmps without blowing a fuse and your equipment will not kill you. However, this is not a good situation because it is requires the Earth to be there constantly. Internal piping can supply an Earth connection and it was common for plumbers to get shocks whist disconnecting pipes and removing the Earth path (it went through them!). Nowadays, all internal metalwork has to be connected to Earth with wires, which avoids the problem.
Residual Current Circuit Breakers take care of this problem by detecting the difference between Live and Neutral currents (to within about 10mA, which won't kill you) and cutting off the supply.
Odlaw, you say you are confused by the apparent difference between the ideas of potential difference and a complete circuit. A complete circuit is necessary for a steady current to flow and a current will flow to Earth from a fault because there is, in fact, a path from the Earth conductor to the Neutral - however tortuous. A possibly lethal current can, however flow, briefly, between two objects which are charged to different (static) potentials yet are not parts of a circuit, until they acquire the same potential. But there needs to be quite a lot of charge - which requires either a high PD or a large capacity, which is not really relevant to situations involving mains (current) electricity, where lots of charge is constantly being supplied by the generators.
Also "taking the easiest path" is an oversimplification of how current flows. The current is always shared between paths - it's just that the majority will flow through through the lowest resistance path. The current will be inversely proportional to the resistances so a 0.5Ohm Earth path will take 200000 times as much current as your 100000Ohm body path.