As a post-WGA strike comeback, 30 Rock couldn't have picked a better episode: MILF Island is possibly the best episode of Season Two, beating two rock-hard contenders like SeinfeldVision and Rosemary's Baby. It's really, really, really brilliant.
In a nutshell: remember the show Jack invented during the summer hiatus, the highly suggestive MILF Island? Well, it's back. The staff of TGS is busy watching the season finale, while Jack is upset by a newspaper article when one of his own called him a "first class moron". Liz vows to find whoever did it, but when Kenneth points out it was her (unknowingly, but still) she threatens to kill him if the truth comes out. As MILF Island comes closer to the end, Liz comes closer to a confrontation she never imagined would take place.
Following the example of SeinfeldVision, Milf Island is a clever case of meta-television, with the events of the fake show acting as a parallel for Liz's situation. The razor-sharp script enables her to have some of her classiest moments with Jack (the pay-off is exquisite), and Kenneth's contributions are spot-on too. And yet amidst all the post-modernism the episode's most successful gag is a piece of old-school slapstick: the always adorable Pete tries to get some snacks without paying for them and ends up having his hand stuck inside the machine for 95% of the episode. Who said physical stuff needs to involve flatulence to be funny?