Thanks for being just as doggedly thorough. It must have appeared that I was just being a p.i.t.a. contrarian. This kind of thing is actually very typical with any kind of custom project. And, in this instance, it's the kind of seemingly minor detail that can have major, long-lasting, consequences. Road gearing means taking the final drive ratio right to the ragged edge of engine torque; trust me, it's worth getting it dialed-in. 3% is noticeable, especially when it's on the tall side. That's where one can go nuts trying to figure out why their engine is so "weak". Short gearing is less noticeable, for a while. Dropping 300-500rpm at cruising speed matters more as the miles roll on. These little engines sound and feel busy, even when everything (including gearing) is optimal. Now consider the longterm implications of an extra ~600 crank revolutions...per mile.
The real kicker, imho, is the fact that shorter gearing does nothing for acceleration above maybe 5mph. I used to take my daily rider to Mid-Ohio. The C/S sprocket was changed to a swap meet friendly 14t, from the road-friendly 17t cog. I could practically drop the clutch from an idle. Taking things a step further, I tried that for a trip to South Bass island, where 40mph is asking for a speeding ticket. Once moving, the bike pulled no differently than normal...it just felt like 4th gear was missing. Back on the open road, I can detect a 1t difference at the wheel...by the feel and sound of the engine. Seriously, I had to upsize by a single tooth when I went from Trailwings to road tires, due to the slightly larger rolling circumference. It's no different when offroading. The engineers really knew their stuff, when it came to overall gear spacing (ratios). When gearing is too tall, you'll invariably end up riding the clutch, to some degree...a dead giveaway. The only exceptions would be unusual circumstances. There is a little bit of gray area, to suit rider preferences. For example, staying 3-5% on the short side will allow better pulling power in top gear...or...going maybe 3% OTT may extend the usable range of 3rd gear (not an option with a 3-speed) enough to climb long grades, while using 4th like an "overdrive". The tradeoff is having to thrash the motor on some grades and a 4th gear that's only usable under close to ideal cruising conditions. Here, I'm talking about a bike with 60mph road power and the torque of at least 110cc. Below that power level, engine performance is sensitive enough that over-gearing nearly always turns out to be a liability.
I realize that the topic of gearing, for most, is dry as a popcorn fart. Still, getting it right makes a big difference. And, it only has to be done once.