Updates:
after research and help from this forum, I bought a fuel pressure test kit as most people having similar symptoms on this engine (ford 5.8 windsor) suggest the fuel pressure regulator, fuel filter, or fuel pump;
tested the fuel pressure and it read round 70 psi!!!!, bounced all over the place with the engine running, leaked down to 0 with the engine off.
replaced the fuel pressure regulator ($20 part) and it is a steady 38 psi, engine on or off, and no leak down either, so this may have been the culprit. I have not taken it for a ride yet as I am also upgrading the spark plugs, wires, distributor cap/rotor, and coil. will check the timing while at it too.
will report back once I do a trip worthy of mpg check.