Well I just recently rented a new E-class diesel and the performance is good for a diesel and the smaller engine. It, as said many times, is no drag racer, but neither is it similary sized engine gas counter part. E220 CDI is peppy as soon as you step on the pedal, and nice ride and such and such but as also mentioned, it will run you at least $30,000.

American V-8s for the most part are tuned to get off the line very swiftly. That V-8 Crown Vic, ex police cruiser is nice for an engine and that bad boy can move, and a good V-8 mustang, even a stock one, is no joke when driven right.
I do own a V-8 Mercedes and love every inch of it. (That second gear start thing can be a tad annoying but it's there for a reason.) That bad boy moves with a purpose and does 0-60 in about 7.0 seconds and then 100+ and beyond very soon after that (not that fast for todays standards but for 89...) and it's a nice quiet perfectly smooth no creaks rattles vibrations even at 140+ mph and it still handles well (for a big car). It only have about 230,000 miles on it. Just breaking it in.
Yeah, it will be smoked by most V-8s off the jump, but it will quickly run them down easily, but it's a gas and likes to drink gas, and likes the good stuff. It deserves it. Diesels are coming up and trying to break out of that old image of slow ponderous smelly noisy engines. Some are (Mercedes for example) are quicker, and better performing than the gas counterparts. I really think diesels are the next big things.
But I think as far as sturdiness and reliability of diesels, the old 80s Mercedes diesels are still king of that hill. And they can be converted too.
(Not exactly sure how the conversions will work on the new ones. I'm sure that issue will be raised in a few years at the most.)