Dynamic List from other Sheets - Auto adjustment if row/column inserted in others sheets

You could use Named Ranges on Sheet1 and Sheet2 and refer to them in the INDIRECT function. The Named Ranges would be "dynamic" when a row or column is inserted.

In this example, the named ranges are called Sheet1rng and Sheet2rng and encompass A3:C6 on each sheet. Using the Sheet's name at the beginning of the named range makes it convenient to reference the B2 dropdown value and add "rng" to the name.

Formula:

=INDEX(INDIRECT($B$2&"rng"),MATCH(INDEX(INDIRECT($B$2&"rng"),ROW(1:1),1),INDEX(INDIRECT($B$2&"rng"),0,3),0),2)