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I think my car runs too cool with the 160 thermostat now. It had a 195 in it and used to run about 210 (on a cheap suntune water temp gauge). I put the 160 in when I swapped over to mechanical Autometer gauges and the thing barely gets to 155. The hottest I've seen it is 170, and that was revving it in the driveway on a 90 degree day while looking for an oil leak. I've got a cheap (came with the car) flexalite mechanical fan and all radiator duct work went bye-bye long ago - unless you count the rust holes in my radiator core support!
I just bought a 180 to try out.
I do run a 160 thermostat in my 94 Impala and have seen no ill effects. Guys on the Impala forum swear they pick up some ponies running the cooler stat.
There are a lot of variable here though. Whether you are running rich or lean, timing advance curve, and the load on the motor all play into this. General rule of thumb for best power though is: cool water, warm oil.
A 160 stat does not let engine warm up enough...causes cylinder wall/ring wear...also,a thermostat does not control engine operating temps after warm up...