I say go for it, but if you don't use your truck to haul/tow too much, I'd say get a 4.3 out of a wrecked blazer or s-10. They're cheap, parts are easy to find and cheap, one will bolt up to your Trans and use the same fuel pump, and it's not unheard of to get around 20 mpg. The easiest thing though would probably be to.put in a 305 which would use your existing wiring harness. I had an 88 Cheyenne st. cab long bed automatic with a 305 with trailering package and 3.08 rear end and it got 15 mpg average and 22 hwy completely stock which I thought wasn't too bad for a full size truck
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