"pure" economics?
Agreed....pellets should have come down in price by now. They certainly shot up fast enough when pellet stoves started to get popular. With the number of pellet providers, you'd think there would be more competition or, dare I say it, could there be collusion keeping the prices up?
I have oil heat and my pellet stove has remained cool now for 2 winters. I also recently added a Mitsubishi split heat pump so my options got even more open. It still looks most economical to heat with oil for this winter but I may run the stove a little just to keep it in working order.
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