FPGA with low pin count (and therefore smaller and hopefully cheaper)
Nobody really makes an FPGA that small.  It's not really enough IO pins to do much of anything with.  You can get FPGAs with 32-64 pins, though.  

Most of the cost of FPGAs is testing.  Each device is tested to ensure that all of the LUTs, flip flops, block RAMs, routing matrix components, transceivers, and IOBs work perfectly for all possible configurations.  The devices are also binned into speed grades.  This is time consuming, and time is money, so they charge for it.  However, some of the smaller Spartan 6 FPGAs only cost around $10 in single unit quantities, which is on par with the price of a microcontroller.  You're not going to get one in a DIP package, but you can get the small ones in TQFP packages and then load them onto a breakout board.