Just a suggestion... since you are already thinking scarf, why not use the pattern found in Mason Dixon knitting for the decayed tutu scarf?
I don't have the book but I adapted the pattern to suit my own taste and stash limitation.
The concept is that you knit using the thin, stretchy yarn and ribbon together, on large size 13-15 needles (use long needles or circulars)
The result is a airy, lacy beautiful effect with limited stretch due to the ribbon.
The pattern I adapted:
Knit 2 rows, with yarn and ribbon together.
*Drop the ribbon and knit 2 rows with just yarn
On the last stitch of the 4th row, carry the ribbon up the side and knit it into that one stitch and drop it again.
Knit 2 more rows
Pick up the ribbon, and knit one row across with both ribbon and yarn together.
Repeat from *
When scarf is desired length, knit the last 2 rows and cast off.
I'll see if I can find a pic from the Mason Dixon book online, but the scarf is really beautiful.
*edited to add links*