I have to agree, bows are overpowered. If it wasn't for the other changes in 1.09n (archery ranges, expensive bows), it'd still dominate the game more than they already do in 1.09n.
As it is, scraping together the money for a bow in the early game delays my use of the bow, and I wasn't able to get those bow units I used to buy about immediately (my kingdom does archery). So the early game is definitely more challenging now, especially with full strength monsters to contend with (no more 2 hp darklings to brush aside).
Heroes being able to purchase bows immediately, but not units took a little getting used to though. It makes sense, though (early game balance-wise). Heroes are simply overpaid units anyways, so grabbing them for bow duty isn't a bad compromise.
The only change I'd like to see is being able to buy crude bows in the shop, if you've chosen the archery option. I haven't used one yet, but 50GP might be enticing if they aren't too wimped out (say 4-6 attack points, similar to other early game weapons).
I'm liking the new 'block/resist' rules for shields though. Nice to see that 'block' message popping up in combat.
I'm thinking Strength overamplifies bows. It makes sense to have it increase damage (strength represents your skill at attacking), but it shouldn't outstrip the other weapons completely.
1.09n is still a beta, so it's up to us to suggest how (un)powerful we want bows to be in 1.1. As well as how powerful they are in relation to other choices (sword, axe, staff, etc.).