I am trying to rebuild a 1978 Chev P/U that now has a 350 (stock) with a rochester 4 bbl.  The engine turns a TH 350 (stock) into a 3:56 (stock) rear.

I get terrible fuel economy but this engine has over 300K miles -- the truck over 430K.  everything is original.  I want to drop in some new power but I really want better economy.  I plan to use the truck around town (construction work), driving interstate rarely, and towing occasionaly.  I would like to re-power in order to :

1.  get around 18-20 mpg in town
2.  cruise around 2000 rpm at 60 on the road
3.  have plenty of torque to haul a 7-8K lb tandem axle trailer

My first objective is fuel economy and second towing ability.  I have been reading/subscribing for years and I see lots of articles about power & performance which equate to lots of fuel used.  $2.50 gas is long gone but the horses still need feeding.

Am I dreaming or can I get this done for around $5K?

Any articles coming up?  Have I missed any?

Thanks for reading.

lsp11