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MagnaSpark II adjusting

Here we go again with the MagnaSpark.
I have mine installed with the MS dry coil. Fires right up / set timing at 30degrees BTC @3k rpm / the RPM stops advancing at 3k rpm with concurs with the instructions - that say the light liver springs are installed. All seems pretty dang good at neutral while adjusting timing and carbs.
I left it stock from the box .
"...this works for most applications."

But ... it  looses power at about 2k rpm , has a hard time pulling up our steep driveway, spits and sputters a bit driving at 3k (but not in neutral at 3k rpm), and gives me a nice little backfire when cold and/or when I turn the engine off. 

After reading the MS instructions, I have no idea which way to go with the distributor spring / bushing adjustment.
(My engine is a 1835 non stroker - cam unknown but feels stock or mild.)

Any ideas?

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