I think it would be closer than that sim. For one thing Magic aging was a factor. It would be a tough call for the modern coach to decide who LeBron was going to guard. He's the best defensive player the current team has, but do you put him on Jordan or Barkley? If you put LeBron on Jordan you're probably stuck with 'Melo on Barkley if you assume a starting lineup of Paul or Williams, Kobe, Carmelo, LeBron, and Chandler. If you put LeBron on Jordan you can have Kobe guard Jordan and let Carmelo guard Pippen or, perhaps better yet, Magic. Magic wasn't scoring by the time of the Dream Team, and Carmelo has the size to hide some of the passing lanes better than your average PG.
On the other hand, I'd probably hold 'Melo out of the starting lineup entirely and put Love on Barkley, LeBron on Jordan, and Kobe and Deron Williams on the guards. Williams would start over CP3 for this game because 6'5" Charles Barkley is the shortest guy on the Dream Team's starting lineup and CP3 is just too short for Pippen or Magic (6'7" and 6'8" IIRC).