What I think this incident shows is that EFATO or engine failures in general should not be rigidly flown at V1 with a bang and total loss of thrust. Having them occur at some point will force pilots to engage the grey matter and actually think about the problem - like you say First Principal; sometimes it might be better to continue to touchdown. If I’m fully stabilised at 500ft into my home base, CAVOK and an engine winds down would I do a go around or just continue to land? I know what I would do.
BD