I found "The Dramatic Password Reveal" to be an interesting read. It's interesting to read the post and gauge your own personal reaction, followed by whether you change your mind after stopping and thinking about it a little bit.
As the owner of 2 Das Keyboards I can tell you that there are many times when revealing my password for a quick double check before entering would be useful. Occasionally for online accounts I'll find myself typing my password into Notepad and then pasting it into the form to prevent me from locking my own account out.
One of the comments in Jeff Atwood's post mentions Password Safe, which might be worth looking at. There's just something about storing all your passwords in a single place which has always seemed like an incredibly bad idea.
Finally for anyone interested, here's how you can add a 'Reveal Password' feature to your ASP.NET web applications.
Link: The Dramatic Password Reveal
Link: Dramatic Password Reveal - in ASP.NET