You (and others on here), Stan, get away with running lower engine speeds than what VW recommended because of 2 factors- larger than 2 liter engines (especially combos that only make power to 6,000 or 6500rpm) make ungodly amounts of torque in that lower midrange band (2,000-3500), and are very efficient at those engine speeds. This means that a lot of the time you are cruising on the idle circuits of the carbs, where not a lot of fuel is used and the engine is just loping along, not creating a lot of heat. A bigger engine combined with the better aerodynamics of a Speedster body allows you to bend those rules somewhat. A good example is the gearing when VW went to the 3.88 r&p; the Beetle got a new (.93) 4th gear, as it's shape didn't allow the faster highway speeds with the lowly 1600, while the more aerodynamic Karmann Ghia, which doesn't need as much power to run the faster speeds, was able to keep the longer (.89) 4th.
I agree that Gene didn't keep up with the times as gas formulations changed and people slowly realized what you could (and couldn't) do for compression, but you have to remember that he was quite often selling speed parts to and advising newbies of the VW world how to drive these cars (do you know how many people come from the V8 and waterpumper worlds not understanding how lugging a VW engine spells death?). If one took his advice it was pretty hard to not get the expected results and longevity. Again, remember that he was selling sometimes pretty hot engine combinations to guys that expected near stock life expectancy for their drivers (not leisure time play cars) that had to a lot of the time run every day reliably, and if you followed his recommendations you got it. This is not something a lot of other companies and engine builders could claim at the time. And as you gained experience, you learned where you could push the boundaries.
As far as his thoughts on cooling- in a Beetle, they're pretty spot on. Deviate much and you're in trouble fairly quickly. As I said earlier (and have said before), the 2 cars (bug and Speedster) are completely different cars, and some things that are possible in a Speedster just ain't gonna happen in a bug. The trick is to be paying attention and know how far you can go....
And Ray- When you consider that Gene's technical articles and newsletters were intended (and important information) for those new to the world of VW performance, there's more good stuff in there than you initially think. Yeah, time has proven a couple of his ideas as out-dated, but it's still a good place to start for the newbie.
Stan- I know what you mean about higher rpm's and the summer heat; the only time we ever got away with substantially higher than 3500 rpm on the highway was once on the way (to? from?) Eugene, Oregon in the rain. An hour or so at 4,000 and then 2? 3? hours at 44 and 4500rpm; close ratio gears (1.14 4th with a 4.375 r&p and 185/70 rear tires) will do that to you (figure out how fast we were going and you'll get why! ). And to think oil temps (iIrc) never got above 210'F....
Al