Neither side is wrong. Either way is fine, and you will be happy with the power increase overall. So, just go with whatever you want to have, and don't be deterred if your feelings take you either way. With more money and time, you can always go back to add the other option later. Fortunately, it's not an either/or situation forever, and the effects of each of these will multiply the effects of the other when they are both used. Still, I lean toward the N/A route. Why?
1. Simplicity. In my mind, despite the prevailing "wisdom" in this thread, it's simpler. No, not simpler to install, but simpler to tune, and simpler in the sense that there are fewer things to go wrong. Obviously, with a blower you're adding an additional mechanical part that could fail, but in the bigger picture adding boost also adds heat to the intake air/fuel which in turn increases the likelihood of a detonation event. It makes the tune more sensitive, and increases the probability of engine damage should another mechanical issue arise. A good tune, IMO, is an absolute necessity for boosted cars. Whereas, you can get away with adjusting timing and fuel pressure to achieve something that gets you in the ballpark without being afraid of detonation when you stay N/A.
2. Maintenance/Reliability. Instead of adding power/stress to old parts, you'd be replacing at least some old parts with new ones. You'd be in a better position to see the current state of your motor, and you'd be able to do some basic maintenance if need be.
3. Performance/Perception. You may not give a damn about what other car guys think, but most enthusiasts actually do, even if they won't admit it. And car guys think a mustang with a supercharger ought to run like... well, a badass blown American V8. Even if you do squeeze the 100 rwhp out of a blower, and I think you probably could, you're still only making 15-20 hp more than a good HCI combo, and your car is significantly heavier in wrong place to boot. i.e. you're adding the weight of a blower and assorted hardware (~50-70lbs?) on the already front-heavy fox instead of subtracting ~50 lbs by switching to some aluminum heads. I outran, on several occasions, fox-bodies with blowers with my old H/C/I fox. I was absolutely thrilled with what was, at the time, a surprising result to me. I think I would've felt the exact opposite if I were in a blown car and lost to a nearly identical N/A one.
4. Fuel economy, if that matters to you. Blowers suck power from the crankshaft, period. They do it at full power, idle, or cruise. Furthermore, they're typically tuned a little more "fat" and with less timing. This means they use more fuel for the same amount of power. Conversely, adding heads and an intake should improve volumetric efficiency, and you have the option of improving thermal efficiency if you choose to increase the compression ratio, which is as simple as selecting and or milling the heads to the appropriate combustion chamber volume for your target compression ratio. The minimal tolerance for and ever-present concern about detonation with a blower combo means you should probably avoid the lower octane fuel to boot.
Ps. And buddy, if you can't afford a nice used intake, which is likely to come with a good throttle body and injectors too, you can't afford to do the blower right, either. Good luck in your choice.
