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It really depends on what your objective is. I wanted the flexibility where I can dial in as much sound as I want. All the way from stock to raw and loud. I have no need for an extra HP or two.
As to your concerns, when the valve is closed, the stock exhaust just does its work. When the valve is open, the flow through the stock exhaust remains and does not get obstructed in any way. The branch-off through the valve is extra, increasing the flow. The air flow will take the way of the least resistance. If turbulance was a problem, no air would flow through the side pipe, and there would be no increase of sound.
The 10" muffler is an open flow type, reducing noice only slightly. We tested without this muffler, but with it it just sounded better.