When Phoebe points out to Joey that the "bad" date he got for Ross is actually an ideal match for him, Joey realizes she's right, adding, "She even reads for pleasure!" But Joey himself enjoyed reading The Shining, as established in The One Where Monica And Richard Are Just Friends(3.13), and in that episode, he also enjoyed Little Women when Rachel gave it to him to read.
So....was Steve *really* the same guy from Season One's "The One With The Stoned Guy" who had apparently fallen on bad times? I don't think he is. Jon Lovitz's portrayal of "the stoned guy" was incredibly different from the sad sack loser he played in this one. And I don't recall even a single line of dialogue that would indicate that they were the same person!
The "stoned guy" was funny and full of life. Steve....was not. Therefore, they can't *possibly* be the same man. At least that's how I see it!