Thust vs stall
Stall speed is a bit more complicated than just mentioned.... it is a while since I did the theory, but stall speed increases as a function of speed, and, a function of the square of the angle of bank and angle of attack.
It is perfectly possible to stall wings with a 0 angle of bank (wings level) and a very high speed... just pull very hard.
One would assume that this guy was coming in wings level, but, my point is, the software isn't as simple as you mentioned. Add to that gusts of wind unexpected variations in thrust & control input (commanded and uncommanded) etc, and things start to get quite tricky indeed.
I've never heard of your 2 hours on one engine rule, but that isn't to say it isn't true, but the implication that an 'over-powerable' single engine gets you out of trouble all the time is a bit off the mark.
Conventional aviation logic dictates that a landing approach is something that will only turn into a landing if all goes well - if the correct conditions fail to transpire a go round will be initiated. If an engine fails at the beginning of go round (or just before takeoff), it is quite possible that the aircraft will not have the performance to clear requisite obstacles etc (although this threat may be eliminated by safety regs in commercial arenas).
Where I trained, most of the instructors said that if you lose an engine on takeoff at this airport, pull both throttles and roll through the fence and across the main road outside.