Is there a way do do dynamic elasticity in Windows Azure? If my workers begin to get overloaded, or queues start to get too full, or too many workers have no work to do, is
There's a Service Management API, and you can use that to scale your application (from code running in Windows Azure or from code running outside of Windows Azure).
http://msdn.microsoft.com/en-us/library/ee460799.aspx and http://code.msdn.microsoft.com/Release/ProjectReleases.aspx?ProjectName=windowsazuresamples&ReleaseId=3233.