I used hp because I thought Joules would be too detailed. Most of the guys here understand the term hp more than Joules. And yep, the thermal efficiency of the engine is the variable. An engine running at 25% thermal efficiency will outperform an engine at 20%, all else equal. What I was getting at is there isn't a way to significantly alter the Vortec 5.7 to achieve better economy. The best way to add some MPGs is to have the timing tuned to max ignition advance before detonation on the highest available fuel rating. If at all possible, avoid E10 with older engines. It will cause lower MPGs without exception when compared to 100% gasoline. A unit of fuel is a unit of fuel, it produces the same energy in any engine. If the fuel is being completely burned then you can't make an engine much more efficient.
That's not entirely correct. If you'll read back to what I said, EGR on older engines (and cam overlap on newer engines) is the method proven best for increasing economy of large gasoline engines. To oversimply it greatly, you're using inert gas to reduce the combustible volume of each cylinder, thereby shrinking the effective displacement of the engine.
Also, max ignition timing and high octane fuel is not the route to go for best economy. Even with high advance, a 93/94 octane fuel will still burn slower (relatively speaking here) than a fuel with an octane rating of say 87. Take the (extreme example) of Formula 1 engines. They run on what amounts to pump gas with an octane rating of less than 100. Sure, they could use something a little higher but what they've figured out is they make peak power and efficiency with the LOWEST possible octane fuel they can run, without damaging the engines from detonation. (Nowadays they don't have to worry about detonation, because the delta of the piston outruns the flamefront so it's not physically possible for there to be preignition, but the same argument was true in old days) This science has percolated down through other areas as well. The common misconception is that 87 octane has more potential energy than 93, but that is incorrect. 93 is more stable and resists preignition, and that is the only benefit over 87. However when you factor in the requirements of a street engine you can see why a "faster" burning fuel is advantageous. You still want to run as much ignition timing as possible without detonation, but coupling that with high octane fuel in a low compression engine is pointless. Heavily modified and/or high compression engines are altogether unrelated to the subject at hand.
The subject of ethanol in fuel is where things get a little......off. Less than 10% in gasoline is fine and shouldn't rob anything more than a rounding error from total fuel economy over the course of a tank. It won't melt fuel system parts or leave a residue. Quite the opposite actually, it will clean it. I've seen more stations selling E15 which is a little more tricky. It will have detrimental effects on economy but other than that, no other driveability issues abound. I was still able to see over 400 miles per tank on the stuff this summer without fail. Food for thought.