I would use either # 2 or # 4:
$('#form1 .edit-field').find(':input')
$(':input', '#form1 .edit-field')
Both of the above are essentially the same. Behind the curtain, when you specify the context, this is what happens anyway:
jQuery( context ).find( selector );
I would avoid # 1 and # 3 because they are significantly slower than # 2 / # 4.
EDIT: Just did a quick test: 1000 input elements using YOUR selectors:
$('#form1 .edit-field :input')
$('#form1 .edit-field').find(':input')
$('.edit-field :input', '#form1')
$(':input', '#form1 .edit-field')
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