Need 318 help/advice

^^^ I agree. I am always in favor of diagnosis and checks before throwing parts at something. OP did say they installed a different cam though...the .488 lift cam.is that the one that steered him wrong? I have the SUMMIT .444 in my 340 and it runs pretty good. I did run the .444 in a 318 also with good results in a street engine, stock heads and springs, it pulled ok to a point then kinda leveled out...
8.1 compression is a delicate animal when choosing a cam. Sometimes narrow lsa is good , idle is hype, and the sleeper is born...
If he advanced it 4 degrees and bumped the initial timing up to 18 or 22 degrees and limited the mechanical advance to 10-16 degrees for a total=32-34 degrees full advance by 2800rpm ..it would do burnouts, if that what he wants.