Thanks for the input Joe.
In looking at the documentation that came with the car, it has new rings and bearings, installed by a machine shop. The head was redone then also. So I'm thinking the upper half of the rope seal was put in correctly, last year.
The PO told me he put on the pan and the head, so I'm thinking he did not do all that correctly. I should have known to pull the pan before I put the engine in, after some clues on this "rebuild" showed up. (valve timing was off, timing chain worn, tach drive seal missing, and other odds and ends.)
BTW, the car did stop blowing steam, so the head gasket is ok. After 300 miles, it still has some blue smoke, and black if too rich. But hopefully I can get the black smoke under control, and the rings will somehow set up.
Ron