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Another way to consider the decision:
What is the average retail bluebook for your car, with it's current miles, in its current condition - with a good engine? Compare that to the amount you would have to pay for a package engine (or new engine?) plus the cost of installing it. The answer should be obvious once you have those two numbers. The internet has a number of national parts suppliers for VWs. You will have to check with each of them to find a new/rebuilt engine.
Even if you put a zero miles engine in it, the value of the car doesn't change appreciably. So if you have to pay anywhere nearly as much for the new motor as the total vehicle with motor is worth you'd be better off getting another vehicle.
 
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