The England midfielder, 22, was linked with both clubs when he was a teenager at MK Dons before agreeing to join Spurs in 2015 in an initial £5million deal.
"I like Dele Alli, he's top drawer," Murphy said on Sky Sports' The Debate.
“Let's give Spurs some credit here, they've given him a platform every week to progress as a young lad coming out of the lower leagues.
“If he had gone to Liverpool, which he nearly did, I'm not sure he would have played as many games.
“Yeah (credit Pochettino) working with him on the training pitch, the club in terms of going we're gonna go get him, get him, get a manager who is going to invest in the youngsters and obviously work with him on the training pitch, spot on.
“But Tottenham as a club deserve credit as well, I think he said since he signed the contract hasn't he, he's grateful for the platform and the supporters.
“I don't think there's another big club in the top-six where he would have played as much as he has."