There is software called Notational Velocity that can be setup to use a folder of text files like this. I have mine setup like this on Dropbox and it works great.
The software presents a reverse chronological list of the files' updated timestamps, has a 'search-or-create' style of file creation, and can have links to one file within another.
I really like Notational Velocity - or, for me, ResophNotes on Windows and Simplenote on the iPhone. Before this, I tried MobileOrg on my phone, an Org Mode app - the search in NV is just much smoother and more useful.
http://notational.net/
The software presents a reverse chronological list of the files' updated timestamps, has a 'search-or-create' style of file creation, and can have links to one file within another.