Good questions.
As with all gasket sealers, this one should be used judiciously. It seems to have consistency and resiliance much like the Silicone you buy in a tube. "Chunks" breaking off would be unlikely if carefully applied, not slathered on.
I see it as a valuable sealant for those instances where sealing is difficult because of a particular design --such as the small rectangular cork seals that are on each side of the main bearing cap in the flathead engine. The sealant manufacturer does claim it can be used on valve covers, water pumps, front covers, etc. If it lives up to those claims, it could replace the Blue Silicone tube found in most garages. The unique design of the tube does give the user a lot of control over how much is dispensed and at what rate.
As for cost, the aerosol can contains 6.7 fl oz. The cost was under $10 (cant find the receipt). So it is probably a little more expensive than a tube of Silicone on a per oz basis. While I dont intend for it to replace my can of Permatex #2, I will use it on the main bearing cap and experiment with it in other places as a potential substitute for the Blue (or Orange) Silicone I have been using.