Resulted in way too much gas boiling off into the carb/air cleaner area during a hot soak when the engine was off for 20 minutes or more, with a nasty gas smell and slightly hard hot starting after a 20 minute or so hot soak.
Figured there must be a needle/seat/float problem so off to my local parts store for a carby kit c/w new float. On disassembly of both my carb and the carb from my parts car, I found the float setting in both cases close to the specs in the manual. I also set my new float to the same specs - to my surprise, the new float, set to specs, also allowed (what I thought) the fuel level to be exactly the same - way too high, with all the same hot soak/smell/starting problems.
Many carb top removals later, experimenting with float level settings to get the fuel level to be controlled at the (close to) exact center of the sight glass, I have ended up with a float setting (see pages FU-16 and FU-17 of the FSM) of about 5/64 higher than spec. The fuel level is now in the center of the sight glass at idle, engine warmed up, etc., as per the FSM.
Along the way, I have checked the fuel pump pressure and is fine - thought it might be too high, but is not the case. Also, the pump IS recirculating fuel back to the gas tank - with the engine running, and fully warmed up/hot, the fuel pump and suction & recirc lines are nice and cool.
I did a LOT of research on the Internet re correct fuel level for all types of carbs that have sight glasses, and all the info I found says fuel level at the center of the sight glass, so that is where I have the float set to contol the fuel level at, at idle.
Haven't noticed any performance problems either with the 'half way' level vs the 'full to the top' level of gas in the sight glass.
To try and minimize the hot soak problem I did a couple of simple things, based on what info I found on the Internet - re-routed the fuel line away from the engine, added a rudimentary heat shield between the engine and fuel pump (the fuel pump really heats up during a hot soak, and to a lesser degree while the engine is running), and added a 12-Volt PC fan on a timer that I now run during the hot soak period. The fan has made a HUGE difference in how much gas evaporates from the float bowl during hot soak - as long as the fan is running, virtually NO gas evaporates. However some gas still evaporates when the car is off during the entire day while I am at work, or overnight when the car is off. Total evaporation is very little now compared to before I installed, in particular, the fan.
Note that my wagon is a non-computer controlled Canadian 5-speed manual, and as such it does NOT have the evaporative emissions line from the float bowl to the charcoal canister that the computer-controlled wagons do. Evaporative emissions are simply contained within the closed air cleaner assembly.
A couple of pics of the mods

