We are talking about bullets here, right? The earth has momentum caused by its movement. But we never think of this unless we are launching a rocket. Muzzle Energy is the kinetic energy of the bullet flying through the air. If you step in front of a bullet, you are going to receive all (or most--it could fly all the way through you) at once. If you step in front of the earth's momentum you never notice it because you are traveling with the earth at the same speed (unless you are entering earth's orbit from space as an astronaut, going West to East). So for our discussion and as a matter of practicality, the kinetic energy produced is a better measure.
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