The car I'm currently working with has over 400 HP, and the LS gears are too short for traction. If we could go with taller ratios, we would, just to use all the power available. With shorter gearing, you do get moving quicker, until boost comes in... So in that respect, a mild turbo setup would benefit from shorter gears, but the higher you go in power, the more smoke you'll make unless you make that torque work a bit harder with taller gears.
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-Harry
AIM: NDcissive
CRX and Pre '92 Civic, Engine Tech and Tuning, & Track and Autocross Forum Mod