Next mod is a weber carb. I am sure that will help with power.
Oh lawd, another one! Don't. Waste. Your. Time! Or, if you're dead set on it, don't buy a 32/36 turd. I wouldn't give mine to somebody I hate!
And yes, adding bigger exhaust helps. Keep in mind, though, there is no golden rule or size you have to run to obtain X power characteristic. Many people who tell you 2 1/4" is the way to go have never tried 2 1/2". These engines don't need backpressure. We aren't running a finely tuned 2 stroke, we have a forklift engine. I've tried both and my engine has been much happier with bigger exhaust, from idle to as high as I've revved. Each setup will respond differently, so it's best to match your system as well as possible.
