Since I don't know what kind of error the bluescreen showed I can only guess, but when XP shows a bluescreen, it's most likely a hardware problem.
Taking a wild guess, I'd say that a certain part of your HD, where some important Windows-Files were stored, was damaged, which crippled Windows, but the CD somehow managed to repair that (although it's new to me, that Windows repairs itself by just popping in the CD).
And I'm 99% certain, that the failure had nothing to do with DOSBox and EcoQuest.
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