Re: thermostat selection
A 160 degF t-stat will keep the engine temp lower, theoretically allowing for more horsepower (by allowing for an increase in timing/boost without additional spark knock). However, this all assumes you have a chip tuned for that thermostat. With a stock chip, I have found it will actually do no good (and can even hurt*) as none of the bin's maps are tuned for that cool of an engine. Given a tuned chip you could possibly do some good, but it's near-abouts negligible. My advice would be to run a 180 degF t-stat unless you have tuning ability. I did some testing years ago with a Sierra 140 degF marine t-stat and found that the tune really suffers as you dive deeper into the coolant temp. I was able to tune it somewhat to my liking, but it took a lot of work and netted very little gains (if any....although this was the t-stat I had in back when I ran 30 psi boost, so take it FWIW).
*F34, F37, F10 and F14 are all driveability crucial maps that will suffer from an untuned chip mated with a <180 degF t-stat. Under the right conditions, you could have a high idle, and too rich AE/DE assistance.