well Sharon, buy it or pass it on.
have it checked by a qualified Bosche/import diesel mechanic. An american
diesel mechanic "may" be familiar as the pumps are essentially the  same as
the dodge ram ones.   if it all is too much$$ there are probably a buncha
mechanically handy vw nutz that would like a chance at it. starters for
these are around $130-200
(try this link http://www.philsinc.com/homepage.html  ) and search parts for
82 vw vanagon diesel
the injection pump is the real expense  and they are pricey used.. though
you would be best looking for a vw diesel specialist.. they often have good
used parts cars for salvage parts. pumps can last 300k miles so you are
fairly safe with that option, then buy a NEW one with your tax return for
peace of mind.
you can also try http://www.bright.net/%7Evwdiesel/main.htm  they are
extreamly helpful and answer their e-mail cumstomer inquiries quickly.
the hard part for a home mechanic is getting it started after the lines and
pump are removed.. I have had to PULL start many a diesel rabbit before as
the starter is not always up to the task.

hope this helps..

dan