This is probably a fuel-related issue, not a mechanical one. With the choke on you are enriching the gas/oil fuel mixture to the engine. This indicates that the carb is probably set too "lean" which can cause poor idling, acceleration and even mechanical damage to the engine due to lack of lubrication esp. at full throttle. Running it with the choke on will have ill effects also. You may need a diaghram or carb rebuild kit. Check condition of fuel filter in the gas tank and the fuel lines themselves. Take the covers off the carb (paying attention to location of gaskets and diaghrams) and spray liberally with non-flammable brake parts cleaner. Don't blow out the passages with high PSI strength air and don't soak the carburetor in carb or parts cleaner....then let dry, re-install and try to start and run. The Low and High speed mixture screws can be adjusted on these. You can buy the special tool or make one out of steel brake line tubing or 22 gauge female disconnect wired spade terminals stuck on thje end of a screwdriver...or you can remove them completely (notijg how many turns it took to remove them) and cut notches in them for use with a regular screwdriver...I just think the carb needs some cleaning and minor adjusting and it may work....if not rebuild it or get a new carb.
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