273 Numbers Matching car. Should I rebuild or swap engine?

With the lower compression 2 BBL Egge L2221 pistons you would have to deck the block .040" to get them to zero deck, and then you would still only have 8.4:1 static CR with .027" thick Cometic gaskets (assuming they make 273 gaksets from that thin MLS material) and 302 heads. IMHO shave 302 those heads another .040" to get to around a58 cc chamber..... then you are a 9:1. But it sure would be easier to use the Egge L2222's and not bother to deck the block.

The OP has a '68 2 BBL 273 and that would have the 675 heads IIRC, with around 68 cc chambers. So smaller chambered heads sure do make sense.

OP, you have about the clearest marching orders you could ever get! They make complete sense to me LOL

BTW, OP, what do you mean about burning ethanol? Do you just mean burn standard gas with up to 10% ethanol?
Yes... I just meant gas with ethanol v/s100% Gas.